IRB: E-invoice Simplifies Tax Reporting, Helps MSMEs Plan Finances
GENERAL
KUALA LUMPUR, May 13 (Bernama) -- The implementation of e-Invoice will not burden micro, small and medium enterprises (MSMEs) but will provide benefits in business management and tax compliance, according to the Inland Revenue Board (IRB) e-Invoice Division director, Mohamad Rozainy Mohamad Arif.
He said the implementation of e-Invoice is to replace manual invoices by containing complete transaction information such as goods, quantity, price, tax and the Tax Identification Number (TIN) of the seller and buyer.
'It helps MSMEs plan finances, simplify loan management and tax reporting, as well as reduce the risk of losing or damaging manual documents,' he said when featured in Bernama Radio's Klinik Cukai HASiL programme today.
Mohamad Rozainy said the implementation of the third phase of e-Invoice starting July 1 will involve taxpayers with annual income between RM500,000 and RM25 million, while all other taxpayers will be required to do so starting Jan 1, 2026.
Since the implementation of e-invoice in phases starting Aug 1 last year, more than 280 million transactions have been recorded involving almost 30,000 taxpayers, he said.
Mohamad Rozainy said in a bid to help taxpayers obtain accurate information and make necessary preparations, various initiatives were provided to support the implementation of e-Invoices, especially for MSMEs, including free briefings nationwide, service counters at IRB offices and a 24-hour helpline at 03-8682 8000.
He said IRB also provided the MyInvois portal and app free of charge for all taxpayers, while the MyInvois Electronic Point of Sales (e-POS) System was offered free of charge to MSMEs that did not yet have a point of sale (POS) system.
'The government has also given taxpayers six months' flexibility to implement e-Invoice more flexibly. This flexibility allows sellers to issue a consolidated e-Invoice without having to issue an e-Invoice for each transaction,' he said.
Meanwhile, for online traders, especially on local e-commerce platforms, Mohamad Rozainy said the implementation of e-Invoice was the responsibility of the platform provider alone, while MSMEs only needed to ensure their business information was always updated.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Free Malaysia Today
5 hours ago
- Free Malaysia Today
We postponed e-invoice system to support businesses, says Hui Ying
Deputy finance minister Lim Hui Ying said the government had initially planned to implement the e-invoice system from July 1 this year for companies with annual sales of RM500,000 and above. (Bernama pic) PETALING JAYA : The government has postponed the implementation of the e-invoice system after considering the concerns of business owners, particularly the micro, small and medium-sized enterprises (MSMEs), says deputy finance minister Lim Hui Ying. She said the government hopes that companies will have more time to adapt to the e-invoice system developed by the Inland Revenue Board (LHDN) with this postponement, Bernama reported. On June 5, LHDN said in a statement that taxpayers with income or annual sales below RM500,000 would be exempted from the e-invoice system for now. For those earning between RM1 million and RM5 million, it was postponed to Jan 1, 2026. Those with income of up to RM1 million will begin using the system from July 1, 2026. 'What we initially planned (was to implement the system) effective July 1 this year for companies with annual sales of RM500,000 and above. 'However, we understand their concerns, especially MSMEs, and have revised the plan for it to be implemented under three additional phases. 'The Madani government has taken note of the concerns of the business community,' she told reporters after launching the Lebuh Cecil Public Market's smart toilets in George Town, Penang, today. She also said the third phase of the e-invoice implementation, beginning July 1 this year, will involve taxpayers with income or annual sales exceeding RM5 million and up to RM25 million. On the stamping of employment contracts, starting Jan 1, 2026, Lim said LHDN had not enforced this requirement previously. 'Therefore, LHDN and the finance ministry have considered this and decided that employment contracts before Jan 1, 2025 will be exempted. (For) contracts starting on Jan 1, 2026, stamp duty will be required,' she said. She hopes that companies will comply with all the provisions under the Stamp Act 1949, particularly those related to stamping requirements.
New Straits Times
5 hours ago
- New Straits Times
Govt delays e-invoice system after feedback from MSMEs
GEORGE TOWN: The government has postponed the implementation of the e-invoice system after weighing the concerns of business owners, particularly the micro, small, and medium enterprises (MSMEs), said Deputy Finance Minister Lim Hui Ying. She said with this postponement, the government hopes companies will have more time to adapt to the e-invoice system developed by the Inland Revenue Board (LHDN). On June 5, LHDN said in a statement that taxpayers with income or annual sales below RM500,000 would be exempted from the e-invoice system for now. It was postponed to Jan 1, 2026 for those earning between RM1 million and RM5 million, while those with income up to RM1 million will begin on July 1, 2026. "What we initially planned (was to implement the system) effective July 1 (2025) for companies with annual sales of RM500,000 and above. However, we understand their concerns, especially the MSMEs, and have revised it into three additional phases. "The Madani government has taken note of the concerns of our business community," she told reporters after officiating at the launch of Lebuh Cecil Public Market's smart toilets here today. Lim also said the third phase of the e-invoice implementation, beginning this July 1, will involve taxpayers with income or annual sales exceeding RM5 million up to RM25 million. On the stamping of employment contracts between employers and employees starting Jan 1, 2026, she said LHDN had not enforced this requirement previously. "Therefore, LHDN and the Finance Ministry have considered this and decided that employment contracts before Jan 1, 2025, will be exempted, but contracts starting on Jan 1, 2026, will be required to pay stamp duty," she said. She hopes companies will comply with all provisions under the Stamp Act 1949, particularly those related to stamping requirements. — BERNAMA
The Sun
5 hours ago
- The Sun
Malaysia Postpones E-Invoice System to Support MSMEs
GEORGE TOWN: The government has postponed the implementation of the e-invoice system after weighing the concerns of business owners, particularly the micro, small, and medium enterprises (MSMEs), said Deputy Finance Minister Lim Hui Ying. She said with this postponement, the government hopes companies will have more time to adapt to the e-invoice system developed by the Inland Revenue Board (LHDN). On June 5, LHDN said in a statement that taxpayers with income or annual sales below RM500,000 would be exempted from the e-invoice system for now. It was postponed to Jan 1, 2026 for those earning between RM1 million and RM5 million, while those with income up to RM1 million will begin on July 1, 2026. 'What we initially planned (was to implement the system) effective July 1 (2025) for companies with annual sales of RM500,000 and above. However, we understand their concerns, especially the MSMEs, and have revised it into three additional phases. 'The MADANI government has taken note of the concerns of our business community,' she told reporters after officiating at the launch of Lebuh Cecil Public Market's smart toilets here today. Lim also said the third phase of the e-invoice implementation, beginning this July 1, will involve taxpayers with income or annual sales exceeding RM5 million up to RM25 million. On the stamping of employment contracts between employers and employees starting Jan 1, 2026, she said LHDN had not enforced this requirement previously. 'Therefore, LHDN and the Finance Ministry have considered this and decided that employment contracts before Jan 1, 2025, will be exempted, but contracts starting on Jan 1, 2026, will be required to pay stamp duty,' she said. She hopes companies will comply with all provisions under the Stamp Act 1949, particularly those related to stamping requirements.
