Information & Resources

Does E-Invoicing Only Apply To Transactions In Malaysia?
No, e-Invoice is applicable to both domestic and cross-border transactions. The cross-border transactions include import and export activities.

For clarity, the compliance obligation is from the issuance of e-Invoice perspective. In other words, taxpayers who are within the annual turnover or revenue threshold as specified in Section 1.5 of the e-Invoice Guideline are required to issue and submit e-Invoice for IRBM’s validation according to the implementation timeline.

Are All Industries Included In The LHDN E-Invoice Implementation? Are There any industries Exempted?
Right now, all industries in Malaysia must follow LHDN’s e-invoice rules. But some people, types of money earned, and spending might not have to use e-invoices. You can find out more about this in Section 1.6 of the LHDN e-invoice Guideline.

What Is The Process For Issuing An E-Invoice To A Foreign Buyer Without A TIN?
Suppliers are required to obtain buyer’s details from the foreign buyers for the purposes of e-Invoice issuance.
In relation to TIN to be input in the e-Invoice, supplier may use “EI00000000020” for foreign buyers without TIN. Refer to Section 10.5 of the e-Invoice Specific Guideline for further details.

Is There Any Adjustment Window Allowed To The Supplier To Cancel An Invoice submitted To IRBM?
Yes, there is a 72-hour timeframe for the supplier to cancel the LHDN e-invoice

How Do Taxpayers Issue An LHDN E-Invoice To A Non-TIN Holder Such As Foreign(Non-Malaysian) Buyers?
To issue an LHDN e-invoice to foreign buyers without a TIN (Taxpayer Identification Number), suppliers should obtain the buyer’s details.
If a TIN is required, but the foreign buyer lacks one, suppliers can use the placeholder “EI00000000020.”

Is LHDN E-Invoice Applicable To Transactions In Malaysia Only?
No, LHDN e-invoice is not limited to transactions within Malaysia. It is applicable toboth domestic and cross-border transactions, which include import and export activities.

Is An LHDN E-Invoice Required For Return Of Monies To Buyers?
Yes, a refund note LHDN e-invoice is required for returning money to buyers unless the payment was made in error by buyers, there was an overpayment by buyers, or it involves returning security deposits.

What Does IRBM Validate In The LHDN E-Invoice?
IRBM validation includes a series of checks to ensure the LHDN e-invoice submitted to IRBM conforms to the LHDN e-invoice format and data structure as specified by IRBM. Refer to section 2.4.3 of the LHDN e-invoice Guideline for further details.

Does The MyInvois Portal Allow For LHDN E-Invoice To Be Created And Stored in draft Form Prior To Finalisation And Issuance?
Yes, the supplier will be able to create LHDN e-invoice in draft or proforma. LHDN einvoice will only be accepted for tax purposes once the validation is successful.

Do I Need To Issue An E-Invoice When I Refund A Buyer?
Yes, a refund note e-Invoice is required for return of monies to buyers, with the following exception:
Payment made wrongly by buyers
Overpayment by buyers
Return of security deposits

Are There Any Upcoming Engagement Sessions With IRBM?
IRBM is actively conducting a series of engagement sessions with industry players, tax practitioners, professional bodies and identified stakeholders to provide comprehensive information regarding the implementation of e-Invoice in Malaysia including:
Sharing the planning of action plans, strategies, and status developments regarding the implementation of e-Invoice; and
Obtaining feedback and views through two-way communication between IRBM and taxpayers on the implementation of e-Invoice.

Which E-Invoice Model Will Malaysia Adopt?
IRBM will adopt the Continuous Transaction Control (CTC) Model where the validation is done in near real-time by IRBM.

Will E-Invoicing Become Mandatory For All Businesses?
Yes, all businesses will be required to issue e-Invoice in accordance to the phased mandatory implementation timeline, which is based on the business’ annual turnover or revenue threshold.

What Checks Does IRBM Perform On E-Invoices?
IRBM validation includes a series of checks to ensure the e-Invoice submitted to IRBM conforms to the e-Invoice format and data structure as specified by IRBM. Refer to section 2.4.3 of the e-Invoice Guideline for further details.

Do I Need To Issue An E-Invoice For Disbursements And Reimbursements?
An e-Invoice may be required for disbursements and reimbursements, subject to the situation. Refer to Section 5 of the e-Invoice Specific Guideline for further details.

Who Should We Reach Out To If There Are Queries Or Concerns?
For any queries regarding the LHDN e-invoice implementation in Malaysia, kindly send an email to myinvois@hasil.gov.my

What Are The Thresholds For LHDN E-Invoice Implementation To Be Applicable To Taxpayers?
All taxpayers, including companies, must implement LHDN e-invoice based on their annual turnover or revenue as reported in the FY22 Audited Financial Statements.

Will All Businesses Be Required To Issue LHDN E-Invoice?
All Malaysian businesses must issue LHDN e-invoices based on a phasedimplementation timeline linked to their annual turnover or revenue threshold, facilitating a smooth transition for businesses of varying sizes.

Will IRBM Provide Any Technical Guidance On System Integration?
Yes, a Software Development Kit (SDK) will be provided to facilitate system integration

What Is The Timeframe To Issue LHDN E-Invoice Adjustments (I.E., Debit Note and credit Note) After The 72-Hours Validation Period?
Suppliers have no specific timeframe for LHDN e-invoice adjustments and can follow their company policies.
Foreign suppliers and buyers, not using the MyInvois System, make adjustments through specific LHDN e-invoices like debit notes, credit notes, or refund notes

Does The MyInvois Portal Allow For Editing Of Information After The LHDN einvoice Has Been Verified By IRBM?
No, the supplier cannot edit LHDN e-invoice information after it has been verified by IRBM.

If changes are needed, the supplier should cancel the LHDN e-invoice within 72 hours from the time of validation and reissue a new LHDN e-invoice or use a debit note, credit note, or refund note LHDN e-invoice to adjust the original LHDN e-invoice.
After 72 hours from the time of validation, a new LHDN e-invoice must be issued to make any changes.

Is An LHDN E-Invoice Required For Disbursements And Reimbursements?
An LHDN e-invoice may be necessary for disbursements and reimbursements depending on the situation.