MyInvois e-invoicing in Malaysia: how to prepare

What is MyInvois?

An e-invoice under MyInvois is a structured digital record of a transaction between a supplier and a buyer. Instead of issuing a PDF or paper invoice directly, the supplier submits the invoice to the MyInvois system, LHDN validates it and assigns it a unique identifier, and that validated document is what both parties keep for tax purposes. Businesses can submit through the MyInvois portal or, at higher volumes, through an API integration.

Who must issue e-invoices, and from when?

The mandate rolled out in phases by annual turnover, measured from the 2022 financial year statements. The planned final phase for businesses between RM500,000 and RM1 million was cancelled in December 2025 when the exemption floor was raised to RM1 million.

The exemption for businesses under RM1 million has an important carve-out: it does not apply if you have a corporate shareholder, holding company, subsidiary, or related company with turnover of RM1 million or more. Those businesses, and certain new businesses, must implement by 1 July 2026. And once your business is mandated, it stays mandated even if turnover later falls below RM1 million.

What is the relaxation period?

Each phase starts with an interim relaxation period. The first three phases had six months each. For businesses with turnover up to RM5 million, LHDN extended the relaxation period to 31 December 2027. During relaxation you may issue a monthly consolidated e-invoice for all activities, use any description text, and LHDN does not prosecute for non-issuance as long as the consolidated requirements are met.

What is a consolidated e-invoice?

For buyers who do not ask for an individual e-invoice, you can issue one consolidated e-invoice covering the month, submitted to LHDN within seven calendar days after the month ends. Once your relaxation period is over, some transactions always need an individual e-invoice: sales of motor vehicles, flight tickets, construction contracts, payments to agents and dealers, betting and gaming payouts, and, from 1 January 2026, any single transaction above RM10,000, electricity supply, and telco postpaid, internet, and device sales. The full list is in LHDN’s e-Invoice Specific Guideline.

What happens if you do not comply?

Failure to issue an e-invoice when required is an offence under section 120(1)(d) of the Income Tax Act 1967: a fine of RM200 to RM20,000, imprisonment of up to six months, or both, for each non-compliance. During your relaxation period LHDN does not prosecute, provided the consolidated e-invoice requirements are met.

What is a self-billed e-invoice?

In some transactions the buyer issues the e-invoice instead of the supplier. The main cases are imports of goods and services, payments to agents, dealers, and distributors, dividend distributions, e-commerce transactions, purchases from individuals who are not in business, certain interest payments, and insurance payouts. If these apply to you, your bookkeeping needs to capture the supplier details an e-invoice requires.

How should you prepare?

• ·Confirm which implementation date applies to you from the table above, including the related-company carve-out if you are under RM1 million.
• ·Make sure your customer and supplier records hold the details an e-invoice needs, such as registration and tax identification numbers.
• ·Keep your sales and purchase records clean and complete, since each one becomes an e-invoice.
• ·Decide whether you will submit through the MyInvois portal or through software that connects to it.
• ·If you rely on consolidated e-invoices, set a monthly routine: they are due within seven days of month end.

Where does Lejar fit?

MyInvois support is on the Lejar roadmap and is in development. It is not available in the product yet. The groundwork that makes e-invoicing straightforward later, a clean MPERS chart of accounts, accurate customer and supplier records, and tidy period-by-period bookkeeping, is exactly what Lejar helps you keep today. We will publish setup steps here when MyInvois goes live in Lejar.