E-Invoice @ Malaysia:

The Legal e-Invoice Mandate:

The Malaysian Government announced recently the rolling out of a new e-Invoice system of tracking and validating invoices generated by Malaysian businesses for goods and services rendered. This sits on top of existing statutory regulations for Sales and Service Tax ( SST ) levied on in scope sales and Service activities for Malaysian Businesses and administered and managed via the Royal Malaysian Customs ( ‘Kastams’).

The scheduled rollout fo the e-Invoice is for companies with

Phase 1: Turnover > MYR 100m is 1^st August 2024

Phase 2: Turnover > MYR 25m but < MYR 100m is 1^st January 2025

Phase 3: All other Taxpayers is 1^st July 2025

*** Note however, that there was a recent revision that Micro SMEs with turnover < 150k does not need to submit e-Invoices, but is allowed to submit monthly Consolidated Invoice only ( subject to final confirmation ).

The e-Invoice Requirements:

The e-Invoice requirements have been circulated via the LHDN website namely on https://www.hasil.gov.my/en/e-invoice/. Specifically the structure and rollout envisaged by the LHDN is specified under its guidelines released at https://www.hasil.gov.my/en/e-invoice/guidelines/ .

Its original 1^st release was dated October 26^th, 2023 LHDN, with a revision dated February 9^th 2024, a 3^rd revision dated 6^th April 2024 and the final revision dated 28^th June 2024.

We note also the software Development Kit was released in February 9^th 2024 ( 1 st version ), and has been updated until June 2024 : https://sdk.myinvois.hasil.gov.my/release-notes/

The LHDN myinvois portal is now up effective 1 July 2024, with the address of  https://www.hasil.gov.my/en/e-invoice/myinvois-portal/ , and clients are encouraged to log in and familiarize and test their access setups.

The Croesus preferred approach:

For SAP Business One end users, we recommend the deployment of an Intermediary Approach ( or the commonly referred to “API” approach, whereby the end users are performing transactions normally and saving the transactions to their SAP Business One Malaysia database). Our Croesus e-Invoice will seamlessly extract the document details and submit to LHDN myinvois portal for validation and receipting it with the associated LHDN Unique Identifier Number within SAP Business One document. Thereafter, the end users are able to generate the visual representation of the e-Invoice, with the associated QR Code details as per LHDN.

Tests todate on Version 1.1 ( Digital Signed Version ) point to LHDN Preprod server:

https://preprod.myinvois.hasil.gov.my/FSA2WJE4CNZM6JD83J2N2V1J10/share/GWSKBRF1E48SZTQX4J2N2V1J10hll5E51719969417

QR Code E-Invoice

For more details, please contact Croesus on:

richardliau@croesus.com.my

Whatsapp: +61434106239

Mobile: +0133363493