05/01/2026
Here are the latest LHDN updates on e-Invoicing and compliance (Malaysia, 2026):
📌 1. Revised implementation deadlines
The rollout of mandatory e-Invoicing for SMEs (annual revenue RM1 mil–RM5 mil) has been extended to 1 January 2027. This gives smaller businesses more time to prepare before enforcement and penalties apply.
📌 2. Exemption threshold raised
Businesses with annual turnover below RM1 million are now exempt from mandatory e-Invoicing. They do not have to issue e-invoices for now, though many may adopt voluntarily for better bookkeeping.
📌 3. Who still needs e-Invoicing
Businesses above RM1 million turnover must implement e-Invoicing and comply with LHDN’s standards and submission requirements.
📌 4. Mandatory e-Invoice timing by revenue
According to LHDN’s official implementation timeline (subject to above extensions):
Category (annual turnover)
E-Invoicing start date
> RM100 mil
Already in effect
> RM25 mil – RM100 mil
Started earlier phases
> RM5 mil – RM25 mil
Started mid-2025
> RM1 mil – RM5 mil
Now deferred to 2027
> Below RM1 mil
Exempted (2026)
Hasil
📌 5. Key rule changes from 1 Jan 2026
No more consolidated e-invoices for transactions above RM10,000 — each high-value transaction must have its own e-Invoice.
Certain industries or types of transactions (such as electricity, telco, vehicle sales, etc.) may require individual invoices.
📌 6. Relaxation / transitional period
LHDN provides relaxation periods (e.g., six-month grace periods) for new implementation phases, allowing consolidated e-invoices under transitional rules before full enforcement.
📌 7. Where to find official info
LHDN’s MyInvois Portal is the official entry point for e-invoice submissions and guidance.
Updated e-Invoice Guidelines (Version 4.6) and detailed FAQs are available on the LHDN website.
🧾 What this means for your shop / daily receipts
Since your shop may be below RM1 mil turnover / not yet mandated, you can continue using normal receipts/invoices now.
However, once your business crosses the RM1 million threshold or if the mandate eventually applies (from 2027 for small SMEs), you must transition to e-Invoicing as per LHDN’s rules.
Always retain your original receipts and supporting documents for tax filing and audit purposes.
