Labuan annual fees and filings: the whole year, date by date
A Labuan company pays Labuan FSA US$1,000 a year on or before each anniversary of its incorporation, up from US$800 before 2026. Around that fee sit an annual return, a beneficial owner filing by every 31 January, audited accounts and a tax return due seven months after the year end.
With us the whole year costs US$4,990, resident director and audit included.
A Labuan company is never quiet for long. Its fee follows the day it was formed, its tax return follows its year end and its owner filing follows the calendar, so the dates drift apart and pile up in different months. Enter your incorporation date once and the next two years appear in order.
Key takeaways
- The Labuan FSA annual fee is US$1,000, due on or before each anniversary of incorporation.
- More than six months overdue, it costs half as much again: US$1,500 in all.
- The annual return goes in no later than 30 days before the anniversary, and the owner filing by every 31 January.
- The LE1 tax return and any tax fall due seven months after the year end, based on audited accounts, even for a holding company at 0%.
- Missing a yearly condition turns 0% or 3% into 24%; never filing LE1 can cost RM20,000 to RM1 million.
- With Heirson the year costs US$4,990, government fee included.
Labuan filing calendar: every date from your incorporation day
Two dates drive the whole year: the day of incorporation, which sets the fee and the annual return, and the financial year end, which sets the accounts and the tax return.
- Labuan FSA
- Tax office
- Shareholders
We take the first financial year as ending on the first year end after incorporation; your trust company fixes it at setup. The LE1 needs audited figures, so in practice the audit is finished well inside the seven months.
Your anniversary sets the fee; your year end sets the audit and the tax return.
The 2026 Labuan fee rise, line by line
Labuan FSA reset its fees for 2026: the new rates apply from 1 January 2026, and the regulations behind them took legal effect on 1 July 2026. Many guides still quote the old amounts. These are the lines an ordinary company meets, with one licensed activity for scale.
Under Labuan FSA's fee schedule, registration costs US$300 for paid-up capital under RM50,000, US$600 up to RM1 million and US$1,500 above that. Fees are set in US dollars and, under the 2026 fees notice, may be paid in ringgit at Bank Negara Malaysia's rate for the day, with the exchange risk on the payer.
The yearly fee rose by a quarter, to US$1,000. Licensed businesses saw far steeper rises.
Who lodges what: you sign, the trust company files
A Labuan company can't file for itself. The Labuan Companies Act puts its registered office at a licensed trust company and makes an officer of that trust company its secretary, so nearly every filing leaves through one office in Labuan.
You and the board
- Approve the yearly accounts
- Sign the director's solvency certificate
- Tell the company of any owner change within 30 days
- Take part in the yearly board meeting in Labuan
Your Labuan trust company
- Registered office, secretary and resident director
- Keeps the registers and the books in Labuan
- Lodges the annual return and owner filings
- Pays the annual fee through Labuan FSA's system
Two authorities
- Labuan FSA: fee, annual return, owner register, solvency certificate, copy of the accounts
- Tax office (IRBM): LE1 return, tax and supporting papers
The secretary matters more than it looks. If the secretary resigns and nobody replaces them within 30 days, Labuan FSA can strike the company off. None of these filings is public: the free Labuan company search shows a company's existence and status, not its people or accounts.
Where you live: pick it
You approve and sign, the trust company lodges, and two authorities receive.
The yearly conditions behind 0% and 3%
Labuan's low rates aren't automatic. They hold for a year of assessment only if the company met that year's substance rules, set out in the tax office's guideline on Labuan trading and non-trading activity of December 2025; otherwise all of that year's chargeable profit is taxed at 24%. For a holding company the rules are modest, but they come round every year. Which activity counts as which is set out in our Labuan tax guide. Bank fees and minimum balances sit apart from these, in our Labuan bank account guide. The US$100 good standing letter and the free status search are covered in Labuan company search.
| Condition | What it takes each year | In our price |
|---|---|---|
| RM20,000 spent in Labuan | Operating spending of at least RM20,000, about US$4,950, during the year | Included |
| Management and control in Labuan | A board meeting held in Labuan at least once in the year | Included |
| Office and secretary | Registered office at the trust company and a resident secretary in post | Included |
| Books kept in Labuan | Entries made within 90 days and the records held in Labuan | Included |
| Staff, for trading at 3% | Two qualified people on contract with the company, working in Labuan all year, for listed services | Quoted first |
Royalties and other IP income sit outside both low rates.
Miss one condition and the whole year is taxed at 24%.
From year end to LE1: a 31 December year in order
Since the 2025 year of assessment, a holding company's return states net profit as it appears in audited accounts, so the audit is no longer optional in practice. This is how a calendar year runs.
- By 31 JanuaryOwner filingThe trust company confirms the beneficial owner register to Labuan FSA.
- By 31 MarchBooks up to dateThe Act wants each entry made within 90 days, so the year closes without a backlog.
- March to JuneThe auditAn approved auditor works through the accounts. The return needs the final figures.
- By 31 JulyLE1 and taxReturn filed online and tax paid the same day, whether the rate is 0% or 3%.
- By 30 SeptemberAccounts laidShareholders receive the accounts. A solvency certificate follows within 30 days, and a copy reaches Labuan FSA within a month.
Company law and tax law don't line up perfectly here. The Labuan Companies Act still carries a general no-audit rule, while the Labuan Business Activity Tax Act and Labuan FSA's own guide expect audited accounts. A company that wants its 0% treats the audit as compulsory, and so do we.
Audit first, LE1 by month seven, accounts to shareholders by month nine.
Labuan late filing penalties: what each miss costs
Labuan's penalties are set in ringgit by statute and some are criminal. Pick the filing that worries you.
The tax return is the costly one to miss: up to three times the tax.
Strike off and reinstatement in Labuan
Under the Labuan Companies Act, Labuan FSA can strike a company off for unpaid fees, for running without a resident secretary, for breaking the Act, or when it has stopped carrying on business. It writes first, and the company has 30 days to show why it shouldn't happen.
- 1Anniversary: US$1,000 dueA penalty can apply from this day if nothing arrives.
- 2Six months on: US$1,500Half the fee is added once the fee is more than six months overdue.
- 3Notice from Labuan FSAThe company has 30 days to answer before it is removed.
- 4Struck offThe public search lists the company as "Former".
- 5ReinstatementPossible only once every outstanding annual fee has been paid.
We haven't found a reinstatement fee in what Labuan FSA publishes, so we quote it before filing anything. Closing a Labuan company on purpose usually costs less than reviving one, and we price that route the same way.
Unpaid fees lead to strike off, and coming back means paying every one of them.
What a Labuan company costs with us each year
Most of a Labuan bill is the people the law requires: a trust company, a resident director, an auditor and a tax filer. We put them in one number that doesn't change from year one.
Year one
Every year after
- Licensed trust company, registered office and resident secretary
- A resident director, required since 2022
- The audit and the LE1 return
- Owner filings, including every 31 January
- The yearly board meeting in Labuan
- At least RM20,000 spent in Labuan each year
- Two staff in Labuan for a 3% trading company, quoted first
- Legalised documents, as Malaysia doesn't use the apostille, quoted first
- Fast track incorporation, US$500 at cost
- A Labuan licence for services to others
US$4,990 a year, the same every year, with the conditions met inside it.
Labuan annual fees and filings: questions, answered
How much is the Labuan company annual fee in 2026?
When is the Labuan annual fee due?
What is the penalty for paying the Labuan annual fee late?
Does a Labuan holding company need audited accounts?
When is the Labuan tax return due?
When is the Labuan beneficial ownership filing due?
What happens if a Labuan company misses its substance conditions?
What does Heirson charge each year for a Labuan company?
Changelog
- 12 November 2026: first published.
- 13 November 2026: official sources linked inside the text.
A Labuan year with every date already met.
We pay the fee before the anniversary, run the audit and file the LE1 on time, for US$4,990 a year.