The Inland Revenue Board of Malaysia (“IRBM”) has introduced the Compliance Review Framework for e-Invoicing, effective 15 December 2025. This framework represents a significant step in strengthening enforcement and promoting voluntary compliance with e-Invoicing obligations under the Income Tax Act 1967, Petroleum Income Tax Act 1967, and Labuan Business Activity Tax Act 1990.
The framework provides clarity on IRBM’s approach to compliance reviews, including the audit methodology, case selection criteria, and the rights and responsibilities of taxpayers and tax agents. It also sets out the coverage period for reviews, the process for voluntary disclosure, and the penalties applicable for non-compliance. These measures underscore IRBM’s commitment to ensuring proper implementation of e-Invoicing as Malaysia advances towards a fully digital tax administration system.
We are pleased to share the key highlights from the e-Invoice Compliance Review Framework, which can be accessed via the link provided above.
