MSMEs With Annual Revenue Below RM3 Mln Exempt From E-invoicing

Kuala lumpur: Micro, small and medium enterprises (MSMEs) with annual sales of less than RM3 million will not be required to implement e-Invoicing following the increase in the e-Invoice implementation threshold from RM1 million to RM3 million.

According to BERNAMA News Agency, the Inland Revenue Board (LHDN) stated that this move aligns with Prime Minister Datuk Seri Anwar Ibrahim's announcement during the 2026 National Day Prime Minister's Address, effective from September 1. This decision is set to benefit more than 1.1 million businesses that are now exempted from e-Invoicing requirements. The MADANI government aims to ease the compliance burden and costs for MSMEs, allowing them to focus on sustaining and expanding their operations.

LHDN further emphasized the government's strong encouragement for MSMEs to voluntarily participate in e-Invoice implementation, which aligns with the country's goal of business digitalization. The LHDN remains committed to facilitating the smooth implementation of e-Invoicing through educational activities, hand-holding programs, and continuous engagement sessions. These initiatives include guides and tutorials on using the MyInvois Portal, MyInvois application, and MyInvois e-POS to enhance awareness and understanding among MSMEs.

The statement from LHDN revealed that since e-Invoice implementation began on August 1, 2024, a total of 265,379 taxpayers had submitted e-Invoices, accounting for more than 1.84 billion e-Invoices. This achievement indicates positive acceptance among taxpayers, including MSMEs, of e-Invoice implementation as a transformation initiative to digitalize business operations and ensure proper recording and storage of transactions.

Further details on e-Invoice implementation are available through the e-Invoice microsite. Taxpayers can also contact LHDN via its dedicated e-Invoice channels by visiting LHDN offices, calling the e-Invoice Helpdesk at 03-8682 8000, or using MyInvois Live Chat. General inquiries can be submitted via email at [email protected] or through the MyInvois Customer Feedback Form.