Clarification from Malaysian Communications and Multimedia Commission, MCMC
I spoke with the representative from the Licensing Department and asked him if someone, who is doing online business, need to register with MCMC. His answer is NO, if your business activity is not related to the telecommunication industry. Example of business that is related to the industry is, selling SMS services or networking services. So if you are doing these types of businesses, then you need to register.
Clarification from Companies Commission of Malaysia, CCM
I also spoke with the representative from Customer Service, CCM, to get answers to my questions: 'Do I need to register as a business entity to do online business?', 'What if my income is through Google AdSense (through my blog or articles that I write online)?', 'If I do this activity part-time, like selling on an adhoc basis, through eBay, lelong.com.my etc, or selling cookies during festive seasons, do I still need to register?' The answer is YES.
Her rationale is, as long as there is income, you need to register. Even if your income is through blogging and writing articles online. For these categories of people, her suggestion is to register as a sole proprietor, which is the cheapest form of registering a business (see incentives, below).
She further adds that; doing online business in Malaysia is relatively new, compared to other developed economies such as the UK, Australia and USA etc. Regulations and specific requirements are in place, to protect would be buyers from any possible fraud. Business people should also be aware of the code of ethics and of their responsibilities. There are some bad hats that are out to deceive consumers.
However, she did agree that even if someone were to register his business, it doesn't mean the consumer is fully protected.
Anyway, with all these explanations, I still feel that the above rationale doesn't quite apply to bloggers and writers who earn through PPC etc. And for bloggers to register as a business entity is really weird. Unfortunately, laws are laws and we have to comply, no matter how ridiculous it may sound!
In addition, and this is the best part, it is also your responsibility to register and declare your income with the Inland Revenue Board of Malaysia (Lembaga Hasil Dalam Negeri Malaysia, LHDNM)
http://greatstuff.hubpages.com/hub/How-to-Start-Online-Business-in-Malaysia
