Key Updates
The Inland Revenue Board of Malaysia (LHDNM) has updated its e-Invoice General FAQ on January 28, 2025. The main changes affect Issues 8, 11, 55, and 66, providing additional clarifications.
1. Special Purpose Vehicle (SPV) and e-Invoice (Issue 8)
- SPVs under Section 60I of the Income Tax Act 1967 must implement e-Invoice.
- Each SPV must obtain its own Tax Identification Number (TIN) to comply.
2. New Business Implementation Timeline (Issue 11)
- Businesses with non-individual shareholders, subsidiaries, or related companies must implement e-Invoice from July 1, 2025, or on their operation commencement date.
- Businesses without non-individual shareholders and with an annual turnover below RM150,000 are exempt from mandatory e-Invoicing.
- Refer to Part 3: e-Invoice for MSMEs for more details.
3. Corporate Agents and Self-Billed e-Invoices (Issue 55)
- Buyers (taxpayers making payments to agents, dealers, and distributors) must issue self-billed e-Invoices for monetary and non-monetary incentives.
- Applies to both individual and corporate suppliers.
- Agents, dealers, and distributors do not need to issue an e-Invoice to the payer.
4. Import Duties and Self-Billed e-Invoices (Issue 66)
Malaysian buyers do not need to include import duty or sales tax levied by RMCD when issuing self-billed e-Invoices.
What Businesses Should Do Now?
- Review the latest e-Invoice requirements and ensure compliance.
- Update invoicing systems to reflect the new clarifications.
- Check eligibility for exemptions based on business type and revenue.
- Follow the LHDNM guidelines to avoid penalties and ensure smooth implementation.
For full details, visit the official LHDNM website or refer to the latest e-Invoice General FAQ (January 28, 2025).