Kuala Lumpur: Prime Minister Datuk Seri Anwar Ibrahim has announced that the government is willing to reconsider the implementation of the e-Invoice system by the Inland Revenue Board (IRB) to prevent it from becoming a burden on small companies.
According to BERNAMA News Agency, Anwar emphasized the importance of e-Invoicing in preventing revenue leakages but acknowledged the challenges it may pose to small businesses. He assured that improvements would be made to ensure these enterprises are not overburdened. The e-invoicing initiative, which began in August 2024, initially targeted companies with annual revenues exceeding RM100 million. The second phase, which started on January 1, expanded to include businesses with annual sales between RM25 million and RM100 million. The final phase is set to begin on July 1, extending the requirement to all businesses, including micro, small, and medium enterprises (MSMEs).
Anwar, who also serves as Finance Minister, highlighted Malaysia's position as one of the countries offering substantial subsidies. He noted that the majority of electricity users were unaffected by recent tariff adjustments and acknowledged the challenges faced by small companies despite existing gas subsidy provisions. He indicated that the government would review these matters to alleviate the burden on small businesses.
Addressing fuel subsidies, Anwar stated that the government opposes raising fuel prices and prefers to offer subsidies. He mentioned that while fuel prices might be gradually reduced according to market conditions, an increase is necessary for foreigners, as approximately 3.5 to 4 million foreigners in Malaysia benefit from subsidized fuel. Anwar emphasized that no other country provides subsidies to foreigners and the wealthy, assuring Malaysians that they would not be impacted by the subsidy rationalization.
Additionally, the Prime Minister shared insights from an IDE Research Centre study, revealing increased support for the MADANI government among civil servants. He highlighted the positive shift in perception among the 1.4 million civil servants, predominantly Malays, as an encouraging sign of confidence in the government. Anwar attributed this change to the MADANI government's implementation of the Public Service Remuneration System (SSPA) last December, which replaced the Malaysian Remuneration System (SSM), leading to improved efficiency and firm work ethics among civil servants.