Inland Revenue Board Issues Guidelines on E-Invoice

In July 2023, the Inland Revenue Board of Malaysia introduced guidelines addressing the gradual implementation of e-invoice for taxpayers as follows:

1. 1 June 2024: Taxpayers with an annual turnover or revenue of more than RM 100 million.
2. 1 January 2025: Taxpayers with an annual turnover or revenue of more than RM 50 million and up to RM 100 million.
3. 1 January 2026: Taxpayers with an annual turnover or revenue of more than RM 25 million and up to RM 50 million.
4. 1 January 2027: All taxpayers and certain non-business transactions.

To facilitate taxpayers’ transition to e-Invoice, the Inland Revenue Board of Malaysia has developed 2 e-Invoice transmission mechanisms: 

1. a portal (MyInvois Portal) hosted by the Inland Revenue Board of Malaysia; and
2. Application Programming Interface (API).

The following formats will be available for transmission of e-Invoice: Extensible Markup Language (XML) and JavaScript Object Notation (JSON). The guideline also sets out a list of required fields for an e-invoice. 

When a sale or transaction is concluded the supplier is required to create an e-Invoice in accordance with the defined structure (i.e. XML or JSON) and submit it to the Inland Revenue Board of Malaysia for validation.

The link to the guidelines is below: https://www.hasil.gov.my/media/hsulrygk/irbm-e-invoice-guideline-version-10.pdf

Please do not hesitate to contact the following persons if you require any clarification 

Vijey M. Krishnan (Partner) 
(T): 603 – 2632 9868
(E): mkvijey@rdl.com.my

William Wong (Partner)
(T): 603 – 2632 9905
(E): williamwong@rdl.com.my

Chang Ee Leen (Partner)
(T): 603 – 2632 9911
(E): eeleen.chang@rdl.com.my

Michael Fork Chun Sin (Associate)
(T): 603 – 2632 9850     
(E): michaelfork@rdl.com.my