How does someone get an approved company auditor licence in Malaysia?
A chartered accountant applies for approval under section 263 of the Companies Act 2016, handled by the Accountant General's Department on behalf of the Finance Minister. Conditions include a valid MIA practising certificate, audit experience, MIA's Public Practice Program and an interview.
Legal basis. Section 263 lets a chartered accountant (as defined in the Accountants Act 1967) apply to the Minister of Finance to be approved. The Minister must be satisfied of good character and competence. Each approval lasts two years unless revoked and may carry conditions. The power can be delegated.
Conditions listed by the Accountant General's Department (FAQ)
- registered Chartered Accountant with MIA and a valid MIA practising certificate;
- Malaysian citizen or resident, not an undischarged bankrupt;
- no fraud or dishonesty conviction in the five years before applying;
- completion of MIA's Public Practice Program (first-time applicants);
- at least six years of full-time working experience, including five years of audit experience, with set minimums of audit hours and engagements;
- passing an interview on MIA rules, the Accountants Act, company law, auditing standards and related topics;
- after passing, payment of a fee and proof the firm is registered with SSM.
Renewal. Applications are made online through the BLESS portal shortly before expiry. If an approval lapses, the person may not act as an auditor or sign audit reports.
Why owners care. An audit report signed by someone whose approval has lapsed is not a valid statutory audit. Ask for the approval number and check the expiry.
These requirements can change; confirm with the Accountant General's Department.
Legal basis
- Companies Act 2016, s.263
- Accountants Act 1967
Sources
Applies to 2026 · Last reviewed 29 October 2026
General information for business owners, not legal, tax or professional advice. Rules change, so check the sources or ask a licensed professional before you act.
Related questions
- Does every Sdn Bhd in Malaysia need to be audited?Not every one, but audit is the default. Section 267(1) of the Companies Act 2016 requires a private company to appoint an auditor for each financial year, unless it qualifies for and elects the audit exemption set by SSM's Practice Directive 10/2024.
- What is audit exemption for private companies in Malaysia?Audit exemption lets an eligible private company choose not to appoint an auditor for a financial year. It rests on section 267(2) of the Companies Act 2016 and SSM Practice Directive 10/2024. The company still prepares and lodges unaudited financial statements.
- What are the audit exemption thresholds for a Sdn Bhd in 2026?For financial periods starting 1 January to 31 December 2026 (Phase 2), a private company must meet at least two of three tests: revenue up to RM2,000,000, total assets up to RM2,000,000, and no more than 20 employees. Each test covers the current and past two years.
- How do the 2025 to 2027 phases for audit exemption work?Practice Directive 10/2024 raises the audit exemption limits in three steps, based on when the financial period starts: 2025, 2026, and 2027 onwards. The final limits are RM3,000,000 revenue, RM3,000,000 total assets and 30 employees, reached for periods starting from 1 January 2027.
- How do I check if my Sdn Bhd qualifies for audit exemption?Pass at least two of three tests (revenue, total assets, employees) for the current financial year and the past two, using the limits for the phase your period falls in. Also confirm you are not an excluded company type, such as a subsidiary of a public company.