Audit Services

In Singapore, auditing is not merely a compliance requirement but a foundation of corporate transparency and sound governance. MSMC ASIA’s Audit and Assurance team consists of experienced Public Accountants who are well-versed in the Companies Act 1967 and the latest ACRA regulations, providing statutory audits, special audits, internal audits, and charity audits for businesses of all sizes.

Overview

Our mission is to help businesses enhance financial transparency, strengthen management efficiency, and ensure compliance with Singapore Financial Reporting Standards (SFRS) and local regulatory requirements. Our audit services cover all types of company structures—from SMEs to multinational groups—delivering forward-looking and compliant professional support.

We have extensive experience serving clients in:
Trading, Shipping & Logistics, Investment Holding, Real Estate Development, Variable Capital Companies (VCCs), Fund Management, and Family Offices.

General statutory audit requirements

In principle, all companies incorporated in Malaysia (whether private limited companies (Sdn. Bhd.) or public limited companies (Berhad) must engage an independent registered auditor approved by the Ministry of Finance to conduct a statutory audit of their financial statements annually. The audited financial statements must be submitted at the Annual General Meeting (AGM) (where applicable) and subsequently, together with the Annual Return, to the Companies Commission of Malaysia (SSM).

Audit Exemption

To alleviate compliance costs for micro, small, and medium-sized enterprises (MSMEs), the SSM issued Practice Directive No. 3/2017 in 2017, stipulating that private limited companies (Sdn. Bhds) meeting certain conditions can apply for exemption from mandatory annual statutory audits. Specific exemption categories include:

Dormant Companies
- Companies that have not conducted any business since incorporation, or have not engaged in any accounting transactions in the current or previous financial year.
Zero-Revenue Companies
- Companies that have no revenue in the current financial year and have not generated any revenue in the past two consecutive financial years.
- Furthermore, the company’s total assets in both the current and previous financial years do not exceed RM300,000.
Threshold-Qualified Companies must meet all three of the following conditions:
- Their annual revenue for the past two consecutive financial years and the current financial year does not exceed RM100,000;
- The company’s total assets at the end of the current financial year and the previous financial year do not exceed RM300,000;
- The company’s number of employees at the end of the current financial year and the previous financial year does not exceed 5.

Compliance obligations after exemption

It is important to note that even if a company meets the aforementioned audit exemption conditions, it does not mean that its financial reporting obligations are waived.

Exempted companies must still prepare unaudited financial statements in accordance with the Companies Act 2016 and Malaysian Accounting Standards (such as MPERS).
Directors must attach a specific “Audit Exemption Statement” to the statements and submit these unaudited statements to the SSM within the statutory time limit.
Furthermore, the Inland Revenue Board of Malaysia (LHDN) accepts unaudited statements from companies eligible for SSM exemptions for tax filing. However, the SSM or LHDN still has the right to request audited statements from companies at any time if deemed necessary.

Why Choose MSMC ASIA

Deep understanding of Southeast Asia’s regulatory environment
ACRA-registered professional accountants
Comprehensive knowledge of Companies Act amendments and SFRS
One-stop professional services: Audit, Tax, Accounting, Legal
Dedicated to compliance and growth for Chinese and regional enterprises
Proven expertise across Trading, Shipping, Investment, Real Estate Development, and VCC structures

Kindly contact us to explore tax planning solutions designed to support your business goals.

MSMC ASIA

#19-06 160 Robinson Rd, SBF Center, Singapore 068914