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LHDN E-Invoice

  • E-Invoicing is the digital representation of transactions between suppliers and buyers. It replaces traditional paper or electronic documents

  • The IRBM will adopt the Continuous Transaction Control (CTC) model for near real-time validation through the MyInvois Portal or API.

The e-Invoice will enable instant or near-instant validation and storage of transactions, catering to Business-to-Business (B2B), Business-to- Consumer (B2C) and Business-to-Government (B2G) transactions.

E-invoicing Format

E-invoices require a standardized format and a system that can process them.

Accepted Formats

The correct e-invoice format, as specified by IRBM, allows automatic processing by relevant systems.

  • XML

  • JSON

Unaccepted Formats

Formats that cannot be processed as e-invoices include:

  • PDF

  • DOC

  • JPG

  • Other general formats such as email, etc.

E-invoicing Documents and Types

This section explains the documents and types involved in the E-invoicing process.

Documents in Scope

The following documents fall under the scope of E-invoicing:

  • Sales Invoices

  • Credit/Debit Notes

  • Cancellations

  • Receipts

Types of E-invoices to be Issued

The following types of e-invoices must be issued in electronic format:

  • Invoice

  • Credit/Debit Note

  • Refund

Mandatory e-Invoice Implementation Timeline

  • Rolled out in phases from 2024-2027 based on annual turnover thresholds.

  • The initial phase is open to all entities prepared for the digital shift regardless of turnover.

  • Notifications will be sent to mandated taxpayers.

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Who is affected by e-Invoice?

  • Entities Required to Comply

    • Associations, bodies of persons, and branches

    • Business trusts and co-operative societies

    • Corporations, partnerships, and limited liability partnerships

    • Property and unit trusts, real estate investment trusts

    • Representative offices, regional offices, and trust bodies

Peppol E-invoicing

The model planned by the Malaysian government will be based on the CTC combined with a PEPPOL network.

Peppol is a common framework that allows for the direct transmission of E-Invoicing under a structured digital format between buyers and suppliers.