FAQ

Frequently Asked Questions (FAQ)

Q: The login screen freeze and I am getting the message "Too many failed login attempts. Please try again in a few minutes."

Q: At Company Validation page, the system unable to retrieve my company information.

Q: At Company Profile page, is the Registered Address refers to my company Office Address or Factory Address?

Q: I don't have any account with MIDA as the previous JPC Online used Webkey to login. How do I create an account?

Q: I don't have any account with MIDA. I usually submit applications using my Manager's Credentials. What should I do?

Q: Can I add multiple Authorized Person in the Company Profile?

Q: How do I contact MIDA regarding this online system?

Q: I have previously submitted an application to MIDA via InvestMalaysia. Do I have to re-enter detail information (such as company profile, application details) for new application?

A: No. Upon completing your first application through InvestMalaysia, the company & application details will be saved for your company future used. For the next new application entry, the system will prompt a message whether you would like to use the previous details or to re-enter the forms again from the beginning. However, you need to re-attach all relevant supporting documents as each document is unique for each application. Please ensure to update any changes to your company profile.

Q: Can I add multiple company under my supervision?

Q: Can I add multiple contact person?

Q: The screen turn blank/freeze after I verified my account.

Q: I'm not at the office, so I am unable to access my company email in order to activate my InvestMalaysia account using public WIFI. What should I do to login to the system?

Q: Does the contact or authorized person have an access to the application form?

Q: What web browser does the InvestMalaysia supported?

Q: Can multiple contact persons have access to the same section across the application form?

Q: The current Surat Pengesahan MIDA will expire on Dec 2020. Do I need to re-apply when InvestMalaysia SPM goes live?

Q: The current Digital Certificate will expire on Nov 2019. Will the certificate still valid when InvestMalaysia SPM goes live or do I need to re-apply?

Q: I intend to renew the Digital Certificate a month earlier from its expiry date. What is the new expiry date for it?

Q: How long will it takes for the new system to process the application for SPM?

Q: For application MRO-ST (Aerospace), if the description for item 33A & 33B is too much, where should the company fill in all the information needed?

Q: Can I change the ‘Application Sector type’ after I have submitted the request for confirmation letter?

General

Manufacturing Licence

Incentives for Investment

Expatriate Posts

Duty Exemption

Services

Post Licensing and Post Incentive Application

Tax Incentives for Company Relocating into Malaysia under National Economic Recovery Plan (PENJANA)

InvestMalaysia Portal

MIDA Payment Channel

Digital Certificate

Pricing Adjustment for Digital Certificate (DigiCert)

MIDA SUPPORT LETTER UNDER SINGLE WINDOW PLATFORM (SWP)

Evaluation and Issuance Fees

How does MIDA assist investors?

MIDA offers the following assistance to investors:

<ol>
<li>Direct consultation and co-operation with relevant agencies at both the Federal and State levels in matters such as:
<ul>
<li>Securing infrastructural facilities, including land, factory sites, electricity and water supplies, telecommunication and others,</li>
<li>Expediting approvals relating to Building Plans, Certificate of Fitness and Business Licences</li>
</ul>
</li>
<li>To handhold and assist investors in obtaining all necessary approvals for projects until they are operational</li>
<li>To extend support to existing companies in planning expansion, diversification and other reinvestment of their projects</li>
<li>To facilitate visits and site investigations and supply chain infrastructures.</li>
</ol>

To further enhance MIDA’s role in assisting investors, senior representatives from key government agencies are based at MIDA’s Headquarters in Kuala Lumpur to advise investors on government policies and procedures. These representatives include officials from the Department of Labour, Immigration Department, Royal Malaysian Customs, Department of Environment, Tenaga Nasional Berhad and Telekom Malaysia Berhad

What are the types of applications evaluated by MIDA?

MIDA evaluates the following:

<ul>
<li>Manufacturing Licence under the Industrial Coordination Act, 1975</li>
<li>Incentives</li>
<li>Exemption from Custom Duties</li>
<li>Expatriate Posts</li>
<li>Status for regional establishments</li>
<li>Status for R&D company</li>
<li>Matching Grants</li>
</ul>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What are the equity requirements for new, expansion or diversification projects?

How does MIDA act as a single window in facilitating and assisting investors?

To further enhance MIDA's role of assisting investors, senior representatives from key agencies are stationed at MIDA's headquarters in Kuala Lumpur to advise investors on government policies and procedures. These representatives include officials from the Department of Labour, Immigration Department, Royal Customs Malaysia, Department of Environment, Tenaga Nasional Berhad and Telekom Malaysia Berhad.

What are the criteria to apply for a Manufacturing Licence?

A company with shareholder’s fund of RM2.5 million and above OR full-time manpower of 75 people or more can apply for a Manufacturing Licence.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How long does it take to approve for Manufacturing Licence?

How can I find out the status of my company’s application?

If my company is exempted from a manufacturing licence, what other documents can I obtain from MIDA?

The applicant may obtain a ‘Confirmation Letter for Exemption from Manufacturing License’ by submitting their application via <a href="https://investmalaysia.mida.gov.my/EIP/InvestMalaysia.aspx" target="_blank">https://investmalaysia.mida.gov.my/EIP/InvestMalaysia.aspx</a> and should submit a copy of the following documents:-

<ul>
<li>Memorandum and Articles of Association/ Corporate profile from Companies Commission of Malaysia (CCM)</li>
<li>Business Licence from the Local Authorities (if applicable)</li>
<li>Manufacturing Process Flow Chart</li>
</ul>

Can I submit my application for the manufacturing licence online?

What are the main incentives for the manufacturing and services sectors?

There are two major tax incentives for the manufacturing and services sectors:

<ul>
<li>Pioneer Status (PS) – Income tax exemption of 70% – 100% of statutory income for 5 to 10 years. Unabsorbed capital allowances and accumulated losses incurred during the pioneer period can be carried forward and deducted from the post pioneer status of the company.</li>
<li>Investment Tax Allowance (ITA) – An allowance of 60% – 100% on qualifying capital expenditure (factory, plant, machinery or other equipment used for the approved project) incurred within 5 to 10 years from the date the first qualifying capital expenditure is incurred.</li>
</ul>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What is the difference between Pioneer Status and Investment Tax Allowance?

A company approved with a Pioneer Status certificate can enjoy income tax exemption between 70% - 100% of statutory income for 5 to 10 years, whereas, for Investment Tax Allowance, a company can get allowances between 60% - 100% on qualifying capital expenditure incurred within a period of 5 to 10 years. For projects with a longer gestation period and high capital expenditure, it would be more beneficial to opt for Investment Tax Allowance. Companies should study the options before applying either for Pioneer Status or Investment Tax Allowance.

How does a company apply for Pioneer Status/Investment Tax Allowance?

A company can apply for the incentives by filling up the relevant forms (ICA1 – 7) that are available on MIDA’s website (<a href="https://www.mida.gov.my/forms-and-guidelines/" target="_blank">http://www.mida.gov.my/home/forms-&-guidelines/posts/</a>).
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

If my company does not have a Manufacturing Licence, can I apply for Pioneer Status/ Investment Tax Allowance?

How can I confirm that my products/activities are eligible to apply for the incentives?

You may check from the <a href="https://www.mida.gov.my/setting-up-content/promoted-activities/" target="_blank">list of promoted activities & products available</a> in our websites or through our publication ‘Malaysia: Investment in the Manufacturing Sector – Policies, Incentives and Facilities’.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How long does it take to consider the application for the incentives?

How can I find out the status of my company’s application for the incentive?

What is the difference between key post and the term post?

A key post is a post that can be held indefinitely by a foreigner based on the foreign ownership of the company. It is also dependent on the amount of paid-up capital of the company and type of product/industries involved. The approval is subjected to a minimum amount of paid-up capital of the company.

A term post is a post approved for up to 3-5 years for executive posts that require professional qualifications and practical experience, and 2 years for non-executive posts that require technical skills and experience. This is subject to the unavailability of Malaysians to fill up the post. Please check the latest policies and guidelines under the Ministry of Human Resources <a href="https://www.mohr.gov.my/" target="_blank">(https://mohr.gov.my/)</a>.

For companies to be eligible to apply for these posts, Malaysians must be trained to eventually take over the posts.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How to apply for a new expatriate post(s) for a new or existing company?

A company can apply to MIDA by using ICA/JA1 form or other relevant forms (please refer to the guidelines in the website). These forms can be downloaded from MIDA’s website ( <a href="https://www.mida.gov.my/forms-and-guidelines/" target="_blank">https://www.mida.gov.my/forms-and-guidelines/</a>)
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How to apply for an extension or additional expatriate post?

The applicant can apply by to MIDA using form ICA/JA2 or other relevant forms. These forms can be downloaded from MIDA’s website (<a href="https://www.mida.gov.my/forms-and-guidelines/" target="_blank">https://www.mida.gov.my/forms-and-guidelines/</a>). The evaluation for an extension or additional expatriate post is subject to strong justifications by the company and current Government policies.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How long does it take for a decision on the application for expatriate posts?

How does a company apply for import duty and/or sales tax exemption?

Applications for import duty and/or sales tax exemption need to be submitted online via MIDA’s Online Application Portal <a href="https://investmalaysia.mida.gov.my/" target="_blank">(https://investmalaysia.mida.gov.my)</a>.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What type of applications that can be submitted for import duty and/or sales tax exemption?

Applications for import duty and/or sales tax exemption which involve the following need to be submitted online via https://investmalaysia.mida.gov.my:

<ul>
<li>Import duty and/or sales tax exemption on machinery/equipment for selected activities in the Agriculture Sector</li>
<li>Import duty and/or sales tax exemption on raw materials/component for Manufacturing Sectors</li>
<li>Import duty and/or sales tax exemption on machinery, equipment and material for companies in selected services sectors as follows;
<ol>
<li>Research & development (R&D) </li>
<li>Private higher education institution </li>
<li>Private higher training institution (science, technical or vocational) </li>
<li>Tourism project (without accommodation)</li>
</ol>
</li>
</ul>

Application for MIDA Confirmation Letter or Surat Pengesahan MIDA (SPM) to claim import duty and/or sales tax exemption from the Royal Malaysian Customs Department on machinery/equipment/spare parts/prime movers/container trailers for the following::

<ul>
<li>Manufacturers in Principal Customs Area (PCA)</li>
<li>Companies Engaged in Hotel Business</li>
<li>Haulage Operators</li>
<li>Aerospace Maintenance, Repair & Overhaul (MRO) companies</li>
</ul>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How long does it take for a decision on the application of import duty and/or sales tax exemption?

What are the supporting documents required to be attached in the online application?

A company applying for the exemption should submit a copy of the following documents:

<ul>
<li>Manufacturing Licence issued under the Industrial Coordination Act 1975 or Confirmation Letter for a company exempted from Manufacturing Licence under the Industrial Coordination Act 1975</li>
<li>Tax incentive approval under the Promotion of Investment Act, 1986 (PIA) or Income Tax Act, 1967 (if applicable)</li>
<li>Registration certificate or the letter of acknowledgement if the application for the registration certificate is pending for approval from the Department of Occupational Safety and Health (DOSH) (if applicable)</li>
<li>Company profile (latest printout) generated from Companies Commission of Malaysia (SSM) e-Info Services)</li>
<li>Flow chart of manufacturing process</li>
<li>The layout plan for the machinery and equipment in the approved manufacturer’s premise and to indicate where the machinery and equipment will be located</li>
</ul>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What is the procedure to apply for import duty and/or sales tax exemption?

Please refer to the guidelines and procedures for import duty and/or sales tax exemption application in our website on the following link:

<a href="https://www.mida.gov.my/forms-and-guidelines/#tab3" target="_blank">https://www.mida.gov.my/forms-and-guidelines/#tab3</a>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How does a company apply for a digital certificate?

Digital certificate applications need to be submitted online via <a href="https://mpaychannel.mida.gov.my">https://mpaychannel.mida.gov.my</a>

Please refer to the guidelines and procedures on the following link: 
<a href="https://mpaychannel.mida.gov.my/storage/user_guide/mpaychannel_user_guide_v2.3.1_compressed.pdf">https://mpaychannel.mida.gov.my/storage/user_guide/mpaychannel_user_guide_v2.3.1_compressed.pdf</a>

Could a manufacturing company in the Free Industrial Zone (FIZ)/Licenced Manufacturing Warehouse (LMW) apply for duty exemption?

What are services sub-sectors that are eligible to apply for status and/or incentives and/or expatriate applications through MIDA?

Companies undertaking the following selected services or activities may apply for status and/or incentives and/or expatriate:

<ul>
<li>Research and Development;</li>
<li>Principal Hub;</li>
<li>Operational Headquarters (OHQ)/ International Procurement Centres (IPC) / Regional Distribution Centres (RDC);</li>
<li>International Procurement Center/Regional Distribution Centers;</li>
<li>Integrated Logistics Services (ILS);</li>
<li>International Integrated Logistics Services (IILS);</li>
<li>Representative Office/ Regional Office (RE/RO);</li>
<li>Technical/Vocational/Science Training Institutes;</li>
<li>Hotels/Tourism Projects;</li>
<li>Mines Wellness City (MWC);</li>
<li>Green Technology;</li>
<li>Waste Eco Park;</li>
<li>Private Healthcare;</li>
<li>Cold Chain Facilities and Services; and</li>
<li>Other Services Activities Promoted under the Promotion of Investments Act, 1986 and Income Tax Act, 1967</li>
</ul>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What is the procedure to apply for status and/or incentives and/or expatriate application for the above services sub-sectors?

Applicants should submit the relevant application forms which can be downloaded from MIDA’s website (<a href="http:// https://www.mida.gov.my/forms-and-guidelines/"> https://www.mida.gov.my/forms-and-guidelines/</a>). The forms also can be obtained from the Business Information Center at MIDA HQ or the nearest MIDA’s office.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How long does it take to receive a decision for the applications?

i. PIONEER STATUS CERTIFICATE When to apply for Pioneer Status Certificate?

How to apply for Pioneer Status Certificate?

The application can be applied by filling up specific forms. The forms can be downloaded from MIDA website - Post Approval: Application for Pioneer Status Certificate (<a href="http://mida.gov.my/forms-and-guidelines/">http://mida.gov.my/forms-and-guidelines/</a>).
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What are the main criteria for the determination of Production Date in the Pioneer Status Certificate?

The Production Date can be determined as follows:

<ul>
<li>If the company’s production is based on mass production, it has to reach 30% of the commercial production/installed capacity within three (3) consecutive months.</li>
<li>If the company’s production is based on customer demand/order, the first sales invoice should be submitted for the determination of production date.</li>
</ul>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How long does it take to process the Pioneer Status Certificate application?

Is there any chance that company to extend their application of Pioneer Status Certificate if they unable to meet the requirement?

What if the company failed to submit the application of Pioneer Status Certificate within the two years grace period and without notice?

Is it necessary to provide the company’s seal and verification of document?

ii. INVESTMENT TAX ALLOWANCE (ITA) How is the procedure to apply for Effective Date and Verification of Compliance for Investment Tax Allowance (ITA) Incentive?

There are two stages in which the company is required to submit the application:

<ul>
<li>ITA I – Determination of Effective Date (ITA I form)</li>
<li>ITA II – Verifications of Compliance (ITA II form)</li>
</ul>

Forms can be retrieved from here <a href="https://www.mida.gov.my/forms-and-guidelines/">https://www.mida.gov.my/forms-and-guidelines/</a>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

When to apply for the Determination of Effective Date for the Investment Tax Allowance (ITA I)?

When to apply for the Verification of Compliance to Investment Tax Allowance Conditions (ITA II)?

Is it necessary to provide the company’s seal and verification of document?

How long does it take to process the ITA I/ ITA II applications?

iii. EQUITY How to apply for the transfer of shares and waiver of the equity conditions or any matters related to the equity condition?

A formal letter should be submitted to MIDA inclusive of the following documents:

A. For transfer of shares:

<ul>
<li>A copy of Manufacturing Licence with the conditions</li>
<li>Form 24</li>
<li>Form 49</li>
<li>Form 32A</li>
<li>Form of Annual Return</li>
<li>Board Directors Resolution</li>
<li>Audited Financial Statements for the past three years</li>
<li>Export Performance (3 Years) – Certify true copy by an external auditor</li>
<li>Equity Structure before and after the Transfer of Shares</li>
<li>Justification for the Transfer of Shares.</li>
<li>Future Planning (e.g. expansion project, etc.)</li>
</ul>

(All documents must be certified true copy by the company secretary except for the Export Performance)

B. For waiver of equity condition:

<ul>
<li>A copy of Manufacturing Licence with the conditions</li>
<li>Latest Form of Annual Return</li>
<li>Audited Financial Statement for the past three years</li>
<li>Export Performance for the past three years</li>
<li>Expansion plans and new investments are undertaken/to be undertaken in the future (state details and value of investment involved)</li>
<li>New Technology or Transfer of Technology proposed and benefits accrued to Malaysia (e.g. employment opportunities, new export markets, etc.)</li>
<li>Changes in Issued and Paid-Up Share Capital (from incorporation till current date)</li>
<li>Justification for the proposed waiver</li>
</ul>

Note: – Where the shares of the company are held by a SDN. BHD. company, a certified copy of the Annual Return Form of the shareholder company (SDN. BHD. company) is required. – Where the shares of the company are held by a BHD company, a certified copy of the Annual Return Form of the shareholder company (BHD company) and a summary of the Register of Depositor/shareholding details is required.

C. Others 
(any amendment related to the equity such as change of company’s name, change of shareholder, change of board director, an amendment to the equity structure, etc)

<ul>
<li>A letter of request</li>
<li>A copy of Manufacturing Licence with conditions</li>
<li>Form 13 (for change of name)</li>
<li>Equity structure (for change of shareholder)</li>
<li>Name of current and previous board director (for change of board director)</li>
<li>Justification to amend the equity structure (for an amendment to the equity conditions)</li>
</ul>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

How long does it take to process the equity application?

The equity application (transfer of share and waiver of equity condition, etc.) will take six weeks from the complete information received.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What are tax incentives for a company relocating into Malaysia?

Tax incentives offered to a new and existing company relocating into Malaysia under the Income Tax Act 1967 are as follows:

<img src="https://www.mida.gov.my/wp-content/uploads/2020/08/1.jpg" />
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What is the definition of a new company?

New Company

<ul>
<li>
Company relocating its manufacturing facility for eligible activities from any country to Malaysia; or
</li>
<li>
Company establishing its new operation in Malaysia; and
</li>
<li>
Do not have existing manufacturing operations in Malaysia.
</li>
</ul>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What is the definition of an existing company?

Existing Company

Foreign or locally owned company that has existing manufacturing operations in Malaysia and relocate its manufacturing operation from outside Malaysia for a new business segment. The products from the new business segment are not part of the expansion project for existing products.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What is a Special Tax Rate?

A Special Tax Rate is offered to a new company with 0% tax rate on taxable income from the approved business activity for a period of up to 15 years subject to the specified amount of capital expenditure.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What are the criteria for this incentive?

<ul>
<li>
The company meets the definitions of ‘new company’ or ‘existing company’ as outlined under this incentive.
</li>
<li>
The company to undertake manufacturing activities excluding the listed activities as in  <a href="https://www.mida.gov.my/wp-content/uploads/2020/08/Appendix-A-Products-or-Activities-Not-Eligible.pdf" target="_blank">Appendix A</a>.
</li>
</ul>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What are the conditions for this incentive?

<ul>
<li>
The new company or existing company to incur the first capital expenditure within 1 year from the approval date;
</li>
<li>
The company to incur the qualifying capital expenditure within 3 years from the date of the first capital expenditure incurred; and
</li>
<li>
The company will be subjected to conditions related to the Employment and Vendor Development Program.
</li>
</ul>

Details of these conditions will be listed in the Tax Incentive Guidelines at MIDA’s website:<a href="http:// www.mida.gov.my"> www.mida.gov.my</a>
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What percentage of statutory income can be deducted for an existing company?

For the existing company, this incentive offers an Investment Tax Allowance (ITA) of 100% of qualifying capital expenditure incurred within a period of 5 years. The allowance is offset against 100% from the statutory income of the activity.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What are the types of qualifying/eligible capital expenditure?

The qualifying/eligible capital expenditures are the same as stipulated under the Section 29 (7) Promotion of Investments Act 1986 which are capital expenditure incurred on factory building (excluding land) or any plant and machinery used in Malaysia.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What are the additional conditions for an existing company who is currently enjoying a tax incentive?

The existing company must keep separate accounts or incorporate a new entity to undertake such activities.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

What is the procedure to apply for this incentive?

Company may submit an application to the Malaysian Investment Development Authority (MIDA) before 
31 December 2021.
<style type="text/css">.tb_button {padding:1px;cursor:pointer;border-right: 1px solid #8b8b8b;border-left: 1px solid #FFF;border-bottom: 1px solid #fff;}.tb_button.hover {borer:2px outset #def; background-color: #f8f8f8 !important;}.ws_toolbar {z-index:100000} .ws_toolbar .ws_tb_btn {cursor:pointer;border:1px solid #555;padding:3px} .tb_highlight{background-color:yellow} .tb_hide {visibility:hidden} .ws_toolbar img {padding:2px;margin:0px}
</style>

Can my company director be the Authorised Person?

Can my appointed consultant be the Authorised Person?

Can there be more than one (1) employee of the company register in InvestMalaysia Portal?

How do I add more employees as the Contact Person for the company?

I want to apply for Manufacturing Licence and there are four (4) options i.e. new / regularisation / expansion / diversification project. Which one should I choose?

For new company that has yet to start commercial production, please select New Manufacturing Licence.

For existing company, please refer to the explanation on the different types of Manufacturing Licence below:-

<ul>
<li>Regularisation Manufacturing Licence - an existing manufacturing company (formerly exempted from Manufacturing Licence) that has achieved the Manufacturing Licence threshold criteria that is shareholder’s fund of RM2.5 million and above OR full-time manpower of 75 people or more.</li>
<li>Expansion Manufacturing Licence - an existing licenced manufacturing company that proposes to undertake an expansion of production capacity of its approved products.</li>
<li>Diversification Manufacturing Licence - an existing licenced manufacturing company that proposes to undertake a diversification project to manufacture additional products.</li>
</ul>

I am an existing company. I would like to apply for Manufacturing Licence as regularisation / expansion / diversification project but the system does not allow me to select this type of application. How do I proceed?

How do I create Post Approval application? [e.g. Post Approval (ML), Post Incentive, Post Approval RERO, Post Approval Grant, etc.]

Is the username and password the same as InvestMalaysia Portal?

I want to make FPX Payment using my company’s current account, but the system does not allow me and keeps prompting me to use my personal bank account. What should I do?

Can I make payment in cash or via money transfer?

Can the payment be made in foreign currencies other than Ringgit Malaysia (MYR)?

Can I make payment using a credit card?

I am an Authorised Person for two (2) companies and have registered an account at MIDA Payment Channel. Can I purchase the digital certificate for my other company under the same account or do I have to register a new account?

What is a Digital Certificate?

Why do I need a Digital Certificate?

How much does a Digital Certificate cost and what is its validity period?

How to make payment?

I’ve made payment for my Digital Certificate and registered at POS Digicert MYCRS website as prompted by InvestMalaysia Portal. What should I do next?

Your Digital Certificate registration shall be approved within 1 to 3 working days. Check your registered email address for an email from no-reply@digicert.com.my. There shall be a link for pin creation and pin setup challenge. Click on the link and follow the on-screen instruction. Once you have successfully created your pin, login to InvestMalaysia Portal and go to Company Profile - scroll down to Authorised Person - scroll right and click Verify Digicert. The system shall prompt you to key in your pin. Once done, your Digital Certificate status shall change to Verified and you shall be able to submit your application(s).

How do I check the status of my Digital Certificate application?

I was informed that my Digital Certificate has been approved and an email from no-reply@digicert.com.my was sent to me but I did not receive it. What should I do?

Its been 7 working days but I have yet to receive my Digital Certificate approval. What should I do?

I’ve successfully created my pin and the status is active at POS Digicert MYCRS website. However, when I click Verify Digicert at InvestMalaysia Portal, the system prompts “Your ID does not have any Digital Cert yet, please register at DigiCert website to register for a new one”. What should I do?

My PIN is blocked. How do I reset my PIN?

Go to POS Digicert MYCRS website at <a href="https://mycrs.posdigicert.com.my/" target="_blank">https://mycrs.posdigicert.com.my/</a>. Click the RESET PIN button located at the top right of the webpage. Enter your NRIC or Passport Number. Check your registered email address for an email from <a href="mailto:no-reply@digicert.com.my">no-reply@digicert.com.my</a>. This email contains the link to reset your PIN. Click on the link and follow the on-screen instruction to proceed.

My company’s Authorised Person already has a Digital Certificate (certificate issued), but we could not submit application(s). Why?

How can we get a copy of the receipt for Digital Certificate payment?

I’ve purchased my Digital Certificate directly from POS Digicert MYCRS website. Can I request for a refund?

I have two (2) companies. Can I use the same Digital Certificate for both companies?

If my company designates more than one (1) Authorised Person, how many Digital Certificates should I purchase?

What is the latest price of DigiCert?

Validity of DigiCert?

Effective date of the latest price of DigiCert?

Why the price of DigiCert has been increased?

What is the difference between the previous system and the latest MIDA online system?

Are there any other reasons why the price is increased?

What is Single Window Platform (SWP)?

SWP provides a seamless, end-to-end solution that enables Approving Agencies (including MIDA) to issue Support Letter throughout the Employment Pass application process until the endorsement of Employment Pass sticker to expatriate. It will be the centralised platform for companies to apply for Support Letter from the respective Approving Agencies or Regulatory Bodies, for the expatriate(s) they wish to employ.
<quillbot-extension-portal></quillbot-extension-portal>

What is the difference between Single Window Platform and ESD Online System?

Single Window Platform is also known as Xpats Gateway System, is using the existing ESD Online System to support the platform.  Through Single Window Platform, the company obtains MIDA Support Letter and Employment Pass approval through ESD Online System which has been enhanced and streamlined with all Approving Agencies and Regulatory Bodies.

When is the implementation date of Single Window Platform?

What type of pass is processed under Single Window Platform?

Does the company need to apply for MIDA Support Letter through the MIDA InvestMalaysia Portal once Single Window Platform goes live?

Companies in the Manufacturing Sector, Selected Services Sector and Representative Office / Regional Office (RE/RO) with approved Status under MIDA’s purview located in Peninsular Malaysia, can now apply for expatriate posts and Employment Passes through the Xpats Gateway System, accessible via the ESD Online System at <a href="https://esd.imi.gov.my" style="color:#0563c1; text-decoration:underline">https://esd.imi.gov.my</a> .

As for companies located in Sabah and Sarawak; and application to obtain RE/RO Status approval, can continue to submit the application for expatriate post support letter through MIDA InvestMalaysia portal at <a href="https://investmalaysia.mida.gov.my/" style="color:#0563c1; text-decoration:underline">https://investmalaysia.mida.gov.my/</a> .

What is the status of companies that have paid and obtained MIDA Digital Certificate (DigiCert) through InvestMalaysia? Is it a waste for not using the InvestMalaysia portal to obtain MIDA support letter?

DigiCert is required to obtain other approvals via MIDA InvestMalaysia portal as well i.e Manufacturing license / Incentive / Status Approval / Grant / Exemption Letter from Manufacturing License.  One of these documents is a mandatory document in the checklist at Single Window Platform to obtain MIDA Support Letter, as evidence that the company is in the sector under the MIDA purview as in Item 15.

How the Single Window Platform works?

Single Window Platform caters companies to obtain Support Letter from MIDA, Employment Pass approval from Immigration Department of Malaysia through  ESD Online system and Employment Pass endorsement by the Immigration Department of Malaysia, under one platform.

What are the sectors under MIDA purview?

<ul>
<li>Manufacturing sector: </li>
</ul>

             -  All Sub-Sectors

 

<ul>
<li>Selected services sectors:</li>
</ul>

            - Operational Headquarters (OHQ)

            - Regional Distribution Centre (RDC)

            - International Procurement Centre (IPC)

            - Principle Hub (PH)

            - Global Operation Hub

            - Representative Office / Regional Office (RE/RO)

            - R&D company

            - Hotel & Tourism Projects

            - Technical & Vocational Training Institutions & Other Services

            - Medical Device Testing Laboratory

            - Other services (with MIDA incentives):

                  - Oil & Gas Services

                  - Clean Technology & Environment Management)

                  - Integrated Logistics Services (ILS)

                  - Integrated Market Support (IMS)

                  - Central Utility Facilities (CUF)

                  - Cold Chain Facilities (CCF)

                  - Premium Outlets

What is the processing charter time for the MIDA Support Letter?

Will the company be notified by MIDA for additional information/documents if the application is incomplete?

Through Single Window Platform, incomplete applications will not be considered for MIDA Support Letter.

What are the processes involve in Single Window Platform?

Applications submitted to Single Window Platform are for expatriate positions and together with the incumbents.

MIDA will evaluate and approve for expatriate post; and evaluate and recommend the incumbent for Employment Pass approval.  However, MIDA will not validate the incumbent on security matters i.e. their status (blacklisted/suspect list), outstanding taxation matters, passport details etc. 

MIDA Support Letter will be digitally sent to company and the company has a maximum duration of 6 months to initiate for Employment Pass application via the ESD Online System at <a href="https://esd.imi.gov.my" style="color:#0563c1; text-decoration:underline">https://esd.imi.gov.my</a> .

Is there a limit to the number of expatriate post/s that can be applied for?

What is the validity of MIDA Support Letter?

What should the company do if the expatriate post is not filled after the expiry of MIDA Support Letter?

Companies are required to re-apply for MIDA Support Letter via Single Window Platform for a new letter.

What are the documents that I need to upload in Single Window Platform for MIDA to consider Support Letter?

Companies are compulsory to upload the following documents:

<ol style="list-style-type:lower-alpha">
<li>Approval Of Manufacturing License(ML)/Incentive/Grant/Status/Letter Of Exemption From ML</li>
<li>Advertisement with MyFutureJobs. However, it is exempted if:</li>
</ol>

<ol style="list-style-type:lower-roman">
<li>Important positions (C-Suite & Key Posts) and expatriate/s with monthly income of RM15,000 and above;</li>
<li>Representative Office/ Regional Office (RERO);</li>
<li>Investors/Shareholders/Owners;</li>
<li>Corporate Transfers/ Placements / Trade Agreements</li>
</ol>

<ol start="3" style="list-style-type:lower-alpha">
<li>JTK approval under Section 60K, Employment Act 1955</li>
<li>The latest Organisation Chart that clearly indicate the existing expatriate/s and the expatriate post/s being applied for.</li>
<li>Copy of Passport: All Pages (Full Booklet With Front & Back Pages) </li>
<li>Resume of the Expatriate </li>
<li>Certificates of Academic Qualifications (Certified True Copy by the Embassy/Notary Public/Company Secretary) </li>
<li>Certificates of Academic Qualification</li>
<li>Copy of Employment Contract that clearly indicate the expatriate’s salary and term</li>
<li>Letter to justify the requirements of the position/s with company letterhead.</li>
<li>Copy of Previous MIDA Expatriate Approval Letter (if any)</li>
</ol>

We have received a MIDA Support Letter via Single Window Platform. What is the next step?

Companies may proceed to initiate the employment Pass application as follows: 

<ul>
<li>Log in to ESD Online System at esd.imi.gov.my </li>
<li>Go and click to “List of Supporting Letter Application” tab.</li>
<li>Complete your application for final approval by Immigration Department of Malaysia.</li>
</ul>

Can companies change the MIDA Support Letter’s details once it has been issued?

What companies should do if they would like to change or amend the details of previous MIDA expatriate post approval letter approved before Single Window Platform is implemented on 15 June 2023 i.e. change the factory address, name of company etc.?

Does company can use the previous MIDA expatriate post approval letter approved before Single Window Platform is implemented in order to obtain employment pass for key post?

MIDA expatriate post approval letter approved before Single Window Platform is implemented is still valid for the Key Post and company still can use that approval letter in order to obtain the employment pass by uploading the letter in Single Window Platform.

If companies would like to apply for additional and/or extension of expatriate post, which category should company choose?

Will the company be notified if the Support Letter application is rejected by MIDA?

Is there any cooling period to re-apply if the application for Support Letter is rejected by MIDA?

If the application for the Employment Pass being rejected by Immigration Department of Malaysia, can companies use the same MIDA Support Letter to re-apply at ESD Online System?

If there is any issue related to MIDA Support Letter, to whom we can contact for any assistance at MIDA?

For any clarification, please do not hesitate to contact MIDA through;

<ul>
<li style="text-align:justify">InvestMalaysia portal; or</li>
<li style="text-align:justify">The Industry Talent Management & Expatriate Division, MIDA, via email at <a href="mailto:swp@mida.gov.my" style="color:#0563c1; text-decoration:underline">swp@mida.gov.my</a> or at +603-2267 3633.</li>
</ul>

If there is any issue related to Employment Pass approval, to whom we can contact for any assistance/ support/ inquiries?

The contact information is available on Single Window Platform at Xpats Gateway System, accessible via the ESD Online System at <a href="https://esd.imi.gov.my" style="color:#0563c1; text-decoration:underline">https://esd.imi.gov.my</a> (Contact Us);

<ul>
<li><a href="mailto:helpdesk@myxpats.com.my" style="color:#0563c1; text-decoration:underline">helpdesk@myxpats.com.my</a> ; or +603-7839 7171</li>
</ul>

General Information

As part of MIDA's commitment to enhancing the efficiency and delivering greater services to the investors, we're introducing evaluation and issuance fees for applications submitted to MIDA which will occur gradually, effective from 6th November 2023. These nominal charges include the comprehensive processing applications, producing and delivering the requested documents/status, and maintaining the online system infrastructure and performance. 
 
Further details are available at the F.A.Q(s) on MIDA website and MIDA InvestMalaysia Portal and it can be downloaded from <a href="https://www.mida.gov.my/wp-content/uploads/2023/10/General-FAQs-on-Evaluation-and-Issuance-Fees_as-at-10102023.pdf" style="color:#0563c1; text-decoration:underline"> here</a>. 
 
We appreciate your understanding and cooperation as we introduce these fees. Your support is invaluable as we strive to maintain top-notch operations and continue delivering exceptional services.