Audit

• Is it mandatory to appoint an auditor?

  Under section 267(2) of the Companies Act 2016, all Dormant, Zero-revenue and Threshold-qualified private companies are eligible to elect for audit exemption....

• What are the requirements to elect for audit exemption?

  For companies electing for audit exemption, companies are required to lodge a full set of an unaudited financial statements accompanied with a statement that the company is qualified for audit exemption and that the company receives no request from i...

• Which categories of private companies are eligible to elect for audit exemption?

  Under section 267(2) of the Companies Act 2016, all Dormant, Zero-revenue and Threshold-qualified private companies are eligible to elect for audit exemption....

• What is Zero-revenue private company?

  A zero-revenue company is qualified for audit exemption if it does not have any revenue during the current financial year; it does not have any revenue in the immediate past two financial years; and its total assets in the current Financial Statement...

• What is Threshold-qualified private company?

  A threshold-qualified company is qualified for an audit exemption if it fulfils the following criteria: It has revenue not exceeding RM100,000 during the current financial year and in the immediate past two (2) financial years; ...

• What is the significance of having an auditor?

  Under section 266 of the Companies Act 2016, an auditor is responsible to report to the shareholders on the financial statements prepared by the directors. Nevertheless, the value of the audit report will be insignificant when the shareholders themse...