Malaysia: New deadlines for e-invoicing compliance

The deadline is either July 1, 2025, or January 1, 2026, depending on annual turnover or revenue.

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February 25, 2025

The Malaysian tax authority on February 21, 2025, released the general e-invoice guideline (version 4.2) and the e-invoice specific guideline (version 4.1). These revised guidelines establish new deadlines for the country's electronic invoicing (e-invoicing) mandate. Originally, all taxpayers with annual revenues of RM25 million or less were expected to comply by July 1, 2025. However, the new updates divide this group into two distinct categories:

  • Taxpayers with an annual turnover or revenue more than RM500,000 but not exceeding RM25 million must comply by July 1, 2025
  • Taxpayers with an annual turnover or revenue up to RM500,000 must comply by January 1, 2026

In conjunction with these new deadlines, the Inland Revenue Board of Malaysia (IRBM) introduced an interim transition period with the release of version 4.1 of the e-invoice specific guideline. During this period, the aforementioned taxpayers can issue consolidated e-invoices and consolidated self-billed invoices, and utilize other facilities to ease the transition to full compliance with the mandate. For taxpayers with annual revenues over RM500,000 and up to RM25 million, this transition period is from July 1, 2025, to December 31, 2025. For those with an annual turnover or revenue up to RM500,000, the transition period is from January 1, 2026, to June 30, 2026.
 

For more information, contact a KPMG tax professional:

Philippe Stephanny | philippestephanny@kpmg.com

Ramon Frias | ramonfrias@kpmg.com

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