The latest updates to Malaysia’s e-Invoice guidelines (published on 25 February 2025) introduce changes to implementation timelines and compliance deadlines. These adjustments aim to provide businesses with more flexibility and clearer guidance.
Below is a breakdown of the key updates.
1. Revised Implementation Timeline for E-Invoices
New Implementation Phases:
Revenue Range | Implementation Date |
RM100 million and above | 1 August 2024 |
RM25 million - RM100 million | 1 January 2025 |
RM500,000 - RM25 million | 1 July 2025 |
RM150,000 - RM500,000 | 1 January 2026 |
Below RM150,000 (Micro SME) | Exempt from e-Invoice requirements |
✅ Impact: Small businesses have more time to adapt.
2. Updated Timeline for New Businesses
What changed?
Previously, all new businesses (established from 2023 onward) were required to implement e-Invoicing by 1 July 2025.
Now, the timeline is split based on revenue and the year of establishment.
New Timeline for new businesses:
Business Start Year | E-Invoice Implementation Date |
2023 - 2024 (Revenue > RM500,000) | 1 July 2025 |
2023 - 2024 (Revenue between RM150,000 and RM500,000) | 1 January 2026 |
2025 onwards (All revenue levels) | 1 January 2026 or upon operation commencement |
Example:
a. Business starts 1 June 2024, with RM600,000 annual revenue → e-Invoice mandatory by 1 July 2025.
b. Business starts 15 March 2025, with RM200,000 revenue → e-Invoice mandatory by 1 January 2026.
✅ Impact: More clarity for new businesses.
3. Extended Deadline for Self-Billed E-Invoices on Imported Goods
What changed?
Previously, Malaysian buyers had to issue self-billed e-Invoices by the end of the month following customs clearance.
Now, businesses have an additional month, meaning the deadline is extended to the end of the second month after clearance.
Example:
For an import with customs clearance on 1 March 2025, the e-invoice must be issued by:
Old deadline: 30 April 2025
New deadline: 31 May 2025
✅ Impact: Gives businesses more time to process documentation for imported goods.
4. Extended Interim Relaxation Periods
What changed?
Originally, there were three phases of relaxation to help businesses transition smoothly.
Now, there are four phases, aligning with the revised implementation phases.
New Relaxation Periods:
1 August 2024 – 31 January 2025 (Revenue > RM100M)
1 January 2025 – 30 June 2025 (Revenue RM25M - RM100M)
1 July 2025 – 31 December 2025 (Revenue RM500K - RM25M)
1 January 2026 – 30 June 2026 (Revenue RM150,000 - RM500,000)
Special Note: During the interim relaxation period, instead of the rigid requirements, businesses can issue monthly consolidated e-Invoices with simplified descriptions, but they must submit them to IRBM within 7 days after month-end and maintain accurate records. Despite flexibilities, e-Invoicing remains mandatory, and businesses should ensure system readiness for full compliance post-relaxation.
✅ Impact: Businesses get a gradual transition period before full enforcement.
Summary of Positive Changes
✔️ More time for smaller businesses to comply. ✔️ Clearer guidelines for new businesses. ✔️ Extended flexibility for imported goods invoices. ✔️ Better-structured implementation phases based on business size.
The revised guidelines aim to make e-Invoicing adoption smoother, ensuring businesses—big or small—have sufficient time to transition.
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