MPERS and the Malaysian chart of accounts, explained
Written by the Lejar team
MPERS, the Malaysian Private Entities Reporting Standard, is the financial reporting framework most private companies in Malaysia use to prepare their statutory accounts. It is issued by the Malaysian Accounting Standards Board (MASB) and is based on the IFRS for SMEs.
What is MPERS?
MPERS is a single, self-contained accounting standard for private entities. The MASB issued it as the reporting framework for private entities in Malaysia, drawn from the international IFRS for SMEs standard and adapted for the local context. It applies to financial periods beginning on or after 1 January 2016.
One thing to keep on your radar: in October 2025 the MASB issued a revised version, MPERS (2025), aligned with the latest international IFRS for SMEs standard. It becomes mandatory for financial periods beginning on or after 1 January 2027, with early adoption permitted, and the 2016 version continues to apply until then. If you are planning ahead, check the MASB website for the version that applies to your financial year.
Which companies use MPERS?
Broadly, a private entity is a company incorporated under the Companies Act that is not itself a public company and is not a subsidiary or associate of one. Such entities may prepare their accounts under MPERS. Larger and listed groups apply the full Malaysian Financial Reporting Standards (MFRS) instead. Most owner-run Sdn. Bhd. companies fall under MPERS.
Why does the chart of accounts matter?
Your chart of accounts is the list of ledger accounts that every transaction is posted to. When it is structured to match the way MPERS accounts are presented, your trial balance maps cleanly onto the statutory profit and loss and balance sheet, and your accountant spends less time reclassifying entries at year end.
What a Malaysian chart of accounts looks like
Malaysian charts of accounts are usually organised into numbered bands, one per statement group, so an account code tells you at a glance where the balance lands in the statutory accounts. The structure below is the one Lejar ships by default. It follows the numbering style popularised locally by desktop packages such as AutoCount, so it reads as familiar to a Malaysian accountant.
| Band | Statement group | Typical accounts |
|---|---|---|
| 100 | Equity | Share capital, retained earnings |
| 200 | Non-current assets | Property, plant and equipment, accumulated depreciation |
| 300 | Current assets | Bank accounts, trade receivables, deposits, prepayments |
| 400 | Current liabilities | Trade payables, accruals, SST payable |
| 500 | Non-current liabilities | Term loans, hire purchase payables |
| 600 | Sales | Revenue by line of business |
| 700 | Cost of sales | Purchases, direct costs |
| 800 | Operating expenses | Salaries, rent, utilities, professional fees |
| 900 | Other income, finance and taxation | Interest income, finance costs, taxation |
Within a band, the header account takes the 0000 suffix and member accounts step in hundreds, so the band stays readable as it grows: 300-0000 is the current assets header, and the accounts under it run 300-0100, 300-0200 and so on. Contra accounts such as accumulated depreciation carry codes inside the band they offset, so the deduction lands in the same statement group as the assets it relates to. When your trial balance is grouped this way, it maps directly onto the MPERS profit and loss and balance sheet, which is what makes year-end statutory accounts a mapping exercise instead of a reclassification project.
How does Lejar handle the chart of accounts?
Every company you create in Lejar starts on a MPERS-aligned chart of accounts by default, using the account numbering a Malaysian accountant expects. You can rename or add accounts, but you never begin from a blank ledger or a generic foreign template. That default is what lets your profit and loss and balance sheet come out in the shape a Malaysian statutory account takes.
Frequently asked questions
Is MPERS mandatory for my Sdn Bhd?
Most owner-run Sdn Bhd companies report under MPERS. A private entity, meaning a company that is not a public company and not a subsidiary or associate of one, prepares its statutory accounts under MPERS or can opt into the full MFRS framework instead.
What is the difference between MPERS and MFRS?
MPERS is the simplified reporting framework for private entities, based on the international IFRS for SMEs standard. MFRS is the full framework that listed companies and larger groups apply. Most private Malaysian companies use MPERS.
When does the revised MPERS (2025) take effect?
The MASB issued MPERS (2025) in October 2025. It becomes mandatory for financial periods beginning on or after 1 January 2027, with early adoption permitted. The 2016 version applies until then.
Does Lejar use a MPERS chart of accounts?
Yes. Every company you create in Lejar starts on a MPERS-aligned chart of accounts with the account numbering a Malaysian accountant expects, so your trial balance maps cleanly onto statutory accounts.
What does a MPERS chart of accounts look like?
Numbered bands, one per statement group: equity in the 100 band, non-current assets in 200, current assets in 300, current liabilities in 400, non-current liabilities in 500, sales in 600, cost of sales in 700, operating expenses in 800, and other income, finance and taxation in 900. Headers take the 0000 suffix and member accounts step in hundreds.
Is there a required chart of accounts numbering scheme in Malaysia?
No. Neither MPERS nor the Companies Act prescribes account numbers. What matters is that your accounts group cleanly into the MPERS statement lines. The banded numbering convention is popular because it makes that grouping obvious to accountants and auditors.