SMEs hail e-Invoicing exemption as major relief
KUALA LUMPUR: The government's decision to permanently exempt small and medium enterprises (SMEs) from mandatory e-invoicing requirements is a "huge relief" for the small traders, the Small and Medium Enterprises Association of Malaysia (Samenta) said.
The association praised the move, particularly the permanent exemption for micro-enterprises, the extended implementation timeline for SMEs, and the temporary waiver of liquefied petroleum gas (LPG) permit requirements for small food and beverage (F&B) traders.
Its national president, Datuk William Ng, said the exemptions are not only timely but also reflect an understanding of the real challenges faced by small businesses on the ground.
"We have provided input on both issues, and we are grateful that the government has shown genuine care and support for our most vulnerable enterprises," he said in a statement.
The government has permanently exempted businesses earning below RM500,000 annually from the e-invoicing mandate.
Ng said the exemption spares the smallest traders, hawkers and family-run shops, many operating without digital infrastructure, from compliance burdens that could have forced them to shut down or operate informally.
Meanwhile, the postponement of e-invoicing requirements for businesses earning below RM5 million to Jan 1 next year provides SMEs the breathing space they need to prepare, upskill and adapt.
Ng noted that the LPG permit temporary waiver, although a small administrative change, has significant implications for business continuity and the cost of living.
He said the government's proactive stance has averted what could have become a national
micro-business crisis.
Under the earlier implementation schedule, businesses with annual revenues between RM500,000 and RM25 million were required to adopt e-invoicing by July 1, 2025, while those earning below RM500,000 were slated to comply by January 1, 2026.
The Inland Revenue Board (LHDN), in a recent statement, said the revised decision was made in recognition of the commitments faced by Micro, Small, and Medium Enterprises (MSMEs) in complying with e-invoicing regulations that need sufficient time and face various implementation challenges.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New Straits Times
6 hours ago
- New Straits Times
NST Leader: When commuting is a walk in the park
UNLESS people live off the grid, they would want homes near basic conveniences. With access to government services, supermarkets, schools and clinics, people also prefer living near bus or taxi terminals or commuter train stations for easy travel to the city. Residential areas near such transportation hubs have been fortunate to have infrastructure built around them. In the future, the plan is to reverse this: the National Transport Policy 2019–2030 (NTP) states that new housing projects will be developed on or near public transport stations. This concept, exemplified by the Kota Madani housing project, offers residences for low-income groups seeking a sustainable and organised urban lifestyle. Prime Minister Datuk Seri Anwar Ibrahim, in introducing the concept, said it might require changes to existing regulations, as such housing projects promote broader use of the public transport system. Anwar's announcement is timely, as public transport usage stands at only 20 per cent nationwide, significantly below the 40 per cent target set in the NTP. The challenge, said Transport Minister Anthony Loke, is ensuring that the NTP achieves its goals. Anwar's initiative marks a significant step toward addressing low public transport usage. Building homes near transit stations could help resolve this issue. Still, as Loke said, the challenges are entrenched. Low public transport usage stems from inconvenient routes, unreliable service, frequent delays, poor last-mile connectivity, and the social perception of car ownership as a status symbol. Since the mid-1980s, Malaysia's push into industrialisation spurred domestic car production, making private vehicle ownership easy, affordable and widespread. The obsession with cars is exemplified by the six million vehicles entering Kuala Lumpur daily, 2.2 million during peak hours. For public transport to succeed — like Hong Kong's MTR or Singapore's MRT — the government must make tough policy decisions to reduce driving and incentivise bus and train usage. One approach would be to impose a congestion charge for city entry to encourage greater use of buses and trains. Other than limited parking, the measure most hated by motorists is paying to enter the city. Inconsistent schedules, Delays and overcrowding — though frustrating — are issues of management and efficiency, not infrastructure failure. The same applies to poor last-mile connectivity, inadequate waiting areas, and substandard bus infrastructure. In short, there must be a competent system — or artificial intelligence (AI)-driven solutions — to manage scheduling and operations. As for those living off-grid or in remote areas, an AI-enabled e-hailing service could offer a practical mobility solution. Balancing these complex factors — improving public transport while managing urban traffic congestion — remains the ultimate challenge.
New Straits Times
6 hours ago
- New Straits Times
When commuting is a walk in the park
UNLESS people live off the grid, they would want homes near basic conveniences. With access to government services, supermarkets, schools and clinics, people also prefer living near bus or taxi terminals or commuter train stations for easy travel to the city. Residential areas near such transportation hubs have been fortunate to have infrastructure built around them. In the future, the plan is to reverse this: the National Transport Policy 2019–2030 (NTP) states that new housing projects will be developed on or near public transport stations. This concept, exemplified by the Kota Madani housing project, offers residences for low-income groups seeking a sustainable and organised urban lifestyle. Prime Minister Datuk Seri Anwar Ibrahim, in introducing the concept, said it might require changes to existing regulations, as such housing projects promote broader use of the public transport system. Anwar's announcement is timely, as public transport usage stands at only 20 per cent nationwide, significantly below the 40 per cent target set in the NTP. The challenge, said Transport Minister Anthony Loke, is ensuring that the NTP achieves its goals. Anwar's initiative marks a significant step toward addressing low public transport usage. Building homes near transit stations could help resolve this issue. Still, as Loke said, the challenges are entrenched. Low public transport usage stems from inconvenient routes, unreliable service, frequent delays, poor last-mile connectivity, and the social perception of car ownership as a status symbol. Since the mid-1980s, Malaysia's push into industrialisation spurred domestic car production, making private vehicle ownership easy, affordable and widespread. The obsession with cars is exemplified by the six million vehicles entering Kuala Lumpur daily, 2.2 million during peak hours. For public transport to succeed — like Hong Kong's MTR or Singapore's MRT — the government must make tough policy decisions to reduce driving and incentivise bus and train usage. One approach would be to impose a congestion charge for city entry to encourage greater use of buses and trains. Other than limited parking, the measure most hated by motorists is paying to enter the city. Inconsistent schedules, Delays and overcrowding — though frustrating — are issues of management and efficiency, not infrastructure failure. The same applies to poor last-mile connectivity, inadequate waiting areas, and substandard bus infrastructure. In short, there must be a competent system — or artificial intelligence (AI)-driven solutions — to manage scheduling and operations. As for those living off-grid or in remote areas, an AI-enabled e-hailing service could offer a practical mobility solution. Balancing these complex factors — improving public transport while managing urban traffic congestion — remains the ultimate challenge.
The Sun
8 hours ago
- The Sun
Samenta heartened by Inland Revenue Board's latest measures on e-invoicing
PETALING JAYA: The Inland Revenue Board's (IRB) decision to exempt micro enterprises from e-invoicing and to give small and medium enterprises more time to comply with the mandate is a positive step that will help ease the current difficulties faced by businesses in the country. The Small and Medium Enterprises Association of Malaysia (Samenta) stated that IRB's exemptions are not only timely but also reflect an understanding of the real challenges faced by small businesses on the ground. 'We have provided input on both issues, and we are grateful that the government has shown genuine care and support for our most vulnerable enterprises,' Samenta national president Datuk William Ng said. 'We are especially heartened by the government's decisive move to permanently exempt businesses earning less than RM500,000 annually from the e-invoicing mandate. 'This exemption spares our smallest traders, hawkers and family-run shops, many operating without digital infrastructure, from compliance burdens that could have forced them to shut down or operate informally,' he added. Ng said the postponement of e-invoicing requirements until Jan 1, 2026, for businesses earning below RM5 million a year provides SMEs with much-needed time to prepare, strengthen their skills and adjust to new demands. This flexibility is essential for SMEs to survive and grow in today's changing economic environment, he added. On Thursday, IRB announced that the e-invoicing implementation for taxpayers with annual income or sales between RM1 million and RM5 million is postponed to Jan 1, 2026, while those below RM500,000 are exempted, and the deadline for those up to RM1 million is extended to July 1, 2026. The board also set a new e-invoicing implementation timeline: Phase 3 for taxpayers with annual income or sales between RM5 million and RM25 million starts on July 1, 2025; Phase 4 for those earning RM1 million to RM5 million begins on Jan 1, 2026; and Phase 5 for taxpayers with income up to RM1 million will commence on July 1, 2026. On the government's decision to postpone the permit requirement for the use of subsidised liquefied petroleum gas, Ng said: 'In response to the concerns of our street-level food operators, the temporary waiver of liquefied petroleum gas permit requirements will go a long way in safeguarding the daily livelihoods of thousands of families and small traders. It may be a small administrative change, but it carries significant implications for business continuity and the cost of living.' Without these timely measures, he said, Malaysia could have faced the potential collapse of thousands of small businesses, particularly those in the micro and informal sectors. Ng pointed out that the government's proactive stance has averted what could have become a national micro-business crisis. 'More importantly, these decisions send a clear message that the government sees SMEs as a central pillar of our economy and is responsive and willing to amend policies based on feedback from the ground,' he said, adding that Malaysia is a country where small businesses are treated with respect and understanding.
