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Jurisdiction Overview
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Why Labuan?

Labuan International Business and Financial Centre (IBFC) offers the perfect balance between robust tax-smart structures and international operational credibility. Discover why it is the preferred global gateway.

Tax Efficiencies
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Unmatched Tax Incentives

Labuan offers a competitive, simple, and transparent tax environment designed specifically to support international trading, fintech operations, holding companies, and consulting setups.

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3% Corporate Tax

Labuan Trading entities enjoy a highly competitive corporate tax rate of just 3% on audited net profits, keeping more capital inside your business operations.

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0% Passive Holding Tax

Labuan Non-Trading entities, including holding companies holding international assets, real estate, and equities, enjoy 0% corporate tax.

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Zero Withholding Tax

Enjoy 100% borderless profit repatriation with zero withholding taxes on outgoing dividends, royalties, interests, or professional fees.

No Capital Gains or Stamp Duties

Maximize restructuring, share transfers, and exits with full exemptions from capital gains tax, stamp duty, and inheritance taxes.

Corporate Flexibility
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Exceptional Business Flexibility

Labuan provides a versatile corporate environment with minimal barriers, giving international business owners full control over their operations.

100% Foreign Ownership

Retain full equity control and directorship of your company. No requirement for local partners or Malaysian equity participation.

Remote-Friendly Setup

Complete your entire incorporation process, name reservations, and pre-vetting remotely from anywhere in the world without having to travel.

Multi-Currency Operations

Operate corporate accounts in multiple major international currencies (USD, EUR, SGD, GBP, JPY, MYR) to facilitate easy global transactions.

2-Year Executive Visa

Registering a Labuan company grants directors and key professionals eligibility for renewable 2-year Employment Passes / Work Visas.

Credible Jurisdiction
Compliance & Safety
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Global Credibility & OECD Recognition

Unlike traditional zero-tax jurisdictions that draw heavy scrutiny, Labuan is an internationally whitelisted jurisdiction compliant with OECD and FATF standard practices, offering high structural credibility.

Backed by Malaysia's robust legal framework, Labuan entities gain access to an extensive double taxation agreements (DTA) network spanning over 70 countries. This ensures robust protection from double taxation and opens door to global corporate partnerships.

Strategic Location

The Gateway to Southeast Asia

Positioned at the geographical heart of Asia-Pacific, Labuan acts as a bridge connecting fast-growing ASEAN markets, China, India, and the Middle East, offering a highly strategic corporate springboard.