Introduction
In today’s fast-paced business world, efficiency and compliance are crucial, especially for Malaysian businesses submitting e-invoices to LHDN. Integrating SAP Software and ERP Software with AutoCount software simplifies this process by automating e-invoice generation, validation, and submission, ensuring compliance while saving time and resources. SAP Software and ERP Software's enterprise management capabilities, combined with AutoCount’s financial management tools, streamline the entire e-invoicing process, making it faster and error-free. In this article, we’ll explore the benefits of this integration, how to set it up, and best practices for smooth e-invoice submissions to LHDN, ensuring a hassle-free experience. Looking for more insights on e-invoicing? We’ve got you covered.
How does SAP Software and ERP Software integrate into AutoCount software to Do E-Invoice submissions To LHDN?
SAP Software and ERP Software integrates with AutoCount software to facilitate e-invoice submissions to the LHDN (Inland Revenue Board of Malaysia) through the AutoCount e-Invoice Solution. This integration enables businesses to automate their e-invoicing processes, ensuring compliance with LHDN regulations and enhancing efficiency. Here are two examples:
Auto and Manual import of CSV files
AutoCount API
SAP Software and ERP Software integrates with the AutoCount API through various methods, including:
API Integration
SAP Software and ERP Software can directly interact with the AutoCount API using .NET Framework, which allows developers to include and reference AutoCount assemblies in their projects. This method requires the "API Module" license for both systems.
Plug-In Integration
SAP Software and ERP Software can also integrate with AutoCount API using a plug-in that runs as an attached process to the parent application. This method involves writing a plug-in for AutoCount Accounting that performs batch updates of transactions or data into the account book. The plug-in uses AutoCount Accounting API to interact with the system.
Sharing of E-Invoice to Buyers
The purpose of sharing e-invoices with buyers is to facilitate a transparent, efficient, and seamless transaction process. E-invoices ensure that buyers receive accurate, timely, and easily accessible billing information, which helps in verifying purchases, processing payments promptly, and maintaining precise financial records. Additionally, e-invoices reduce the risk of errors associated with manual data entry, enhance overall transaction security, and support eco-friendly practices by minimizing the use of paper. This streamlined communication fosters better business relationships and operational efficiency for both parties. Below are a few examples of sharing E-Invoice to Buyers:
– Export to PDF
– Send by Whatsapp
– EasyEmail (Plugin)
How does the AutoCount E-Invoicing Platform (AIP) work?
The AutoCount E-Invoice Platform is designed to streamline the invoicing process, making it more efficient and compliant with regulatory requirements such as those of Malaysia’s Inland Revenue Board (LHDN). Here’s how it works:
Invoice Creation
Users create invoices within the AutoCount software, leveraging its robust accounting and financial management features. The software allows for detailed input of product or service descriptions, quantities, prices, and tax information.
Data Validation
Before an invoice is sent, the platform validates all necessary data to ensure accuracy and compliance with LHDN requirements. This includes checking for correct tax codes, client information, and adherence to invoicing standards.
Conversion to E-Invoice Format
Once validated, the invoice is converted into an electronic format (e-invoice) that is compatible with LHDN’s systems. This ensures that the invoice meets all regulatory specifications for digital submission.
Submission to LHDN
The e-invoice is then automatically submitted to LHDN through a secure, electronic channel. This direct submission process reduces the risk of errors and delays compared to manual submissions.
Tracking and Confirmation
After submission, the platform provides tracking capabilities, allowing users to monitor the status of their e-invoices. Confirmation of receipt from LHDN is also captured within the system, ensuring that the invoice has been successfully delivered and acknowledged.
Integration with SAP Software and ERP Software
For businesses using SAP Software and ERP Software, the AutoCount platform can seamlessly integrate, enabling automatic synchronization of financial data between the two systems. This integration ensures that all invoicing information is up-to-date and consistent across both platforms.
Archiving and Reporting
The platform securely stores all e-invoices, making them easily retrievable for future reference, audits, and reporting purposes. This centralized archive supports compliance and efficient record-keeping.
By automating the e-invoicing process and ensuring compliance with LHDN regulations, the AutoCount E-Invoice Platform helps businesses save time, reduce errors, and maintain better financial control
AutoCount E-Invoice Platform: Interaction with LHDN API and Server
Invoice Creation:
Users create invoices in the AutoCount software, entering all necessary details such as product descriptions, quantities, prices, and applicable taxes.
Data Validation:
The platform checks the invoice data for completeness and compliance with LHDN requirements. It ensures that all mandatory fields are filled and that the data adheres to the specified format.
Conversion to E-Invoice Format:
The validated invoice is converted into an XML or JSON format that meets LHDN’s e-invoicing standards. This format includes all required fields and data structures as mandated by LHDN.
Submission to LHDN via API:
AutoCount uses the LHDN API to securely transmit the e-invoice to LHDN’s servers. The API provides a direct and secure communication channel, ensuring that the data is transmitted accurately and efficiently. During this process, the platform handles authentication and authorization, ensuring that the connection to LHDN’s server is secure.
Processing by LHDN:
Once received, LHDN’s servers process the e-invoice. They verify the data against their records and perform various checks to ensure compliance and accuracy. LHDN’s system generates a unique validation code for each successfully processed invoice. This code is embedded in a QR code, which serves as a proof of validation and compliance.
Receiving the Validation QR Code:
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Incorporation of QR Code into Invoice:
The AutoCount platform receives the QR code and attaches it to the respective invoice. This can be included in the printed or digital version of the invoice, ensuring that it’s easily accessible for verification purposes. The platform also logs this QR code and the associated validation status, updating the invoice records to reflect its validated state.
Tracking and Confirmation:
Users can track the submission status of their invoices within the AutoCount platform, viewing the confirmation and validation details provided by LHDN. The system ensures that all e-invoices are archived with their corresponding QR codes, providing a comprehensive record for future reference, audits, and reporting.
Challenges
New Customer Code:
Data Validation: Ensure that the new customer code is correctly validated and integrated into the SAP Software and ERP Software system to avoid errors in invoicing and payment processing
New Item Code:
Inventory Management: Update the inventory management system to reflect the new item code, ensuring accurate tracking and reporting of inventory levels and movements
Sharing Documents:
The probability of LHDN sending a copy is very low.
Conclusion:
In conclusion, integrating SAP Software and ERP Software with AutoCount for e-invoice submissions to LHDN significantly enhances operational efficiency and ensures regulatory compliance. This powerful combination automates the invoicing process, reduces errors, and provides real-time validation and tracking. By leveraging these technologies, businesses can streamline their financial operations, maintain accurate records, and focus on strategic growth. Embracing such integration not only simplifies compliance with LHDN requirements but also positions companies for future advancements in digital financial management. If you are willing to gain increased knowledge and skill on E-Invoicing, We at AutoCount organize seminars for you to attend and gain more knowledge. Register now and oin!