Malaysia e-Invoice via MyInvois Portal: Comprehensive Guide

Digital transformation has significantly impacted various facets of businesses, and invoicing is no exception. The introduction of e-Invoicing through portals like MyInvois has streamlined the invoicing process, ensuring efficiency, compliance, and accuracy. This detailed guide explains every element of the e-Invoice model via the MyInvois Portal, from pre-submission to final storage, providing a holistic view of its capabilities, workflows, and practical applications.

1. Overview of MyInvois Portal

Purpose and Functionality

The MyInvois Portal is specifically designed to cater to all e-Invoicing needs, offering taxpayers (particularly suppliers) a comprehensive platform for generating, submitting, viewing, canceling, and rejecting invoices. The portal serves two primary purposes:

1. Centralized Access: It allows all taxpayers to view and search for their respective e-Invoices.
2. Accessibility: It provides a platform for taxpayers who do not have the capability to issue e-Invoices through their own systems.

Access to MyInvois Portal requires login through the MyTax Portal and adherence to the rules and requirements outlined by the Inland Revenue Board of Malaysia (IRBM).

2. Pre-Submission Requirements – e-Invoice Submission

Retrieval and Verification of TIN

Before creating an e-Invoice, suppliers must retrieve and verify their Taxpayer Identification Number (TIN). This can be done via two primary avenues:

1. MyTax Portal:
   • Login at MyTax Portal.
   • Navigate to the TIN verification section.
2. e-Daftar Platform (if TIN is not retrievable via MyTax):
   • Log in to MyTax Portal.
   • Select the e-Daftar option.
   • Fill in required details such as the type of taxpayer, email, and phone number.
   • Click "Search" to register and obtain the taxpayer’s TIN.

3. Step-by-Step Workflow via MyInvois Portal

Step 1 – Creation and Submission

Upon concluding a sale or transaction, including any adjustments (e.g., debit notes, credit notes, refund notes), the supplier creates an e-Invoice and submits it via the MyInvois Portal for validation.

Creation Options:

1. Individual Creation:
   • Fill in a form with all required fields, including payer and payee details, transaction specifics, and any applicable taxes.
2. Batch Upload:
   • Upload multiple e-Invoices in batch by using a predefined Microsoft Excel spreadsheet containing necessary information.

The submission step requires the supplier to ensure the accuracy of the information included in the e-Invoice.

Step 2 – e-Invoice Validation

Once submitted, the e-Invoice undergoes near real-time validation by IRBM through the MyInvois Portal.

Validation Outcomes:

• Validated Invoice:
  • Supplier receives a visual representation of the validated e-Invoice in PDF format.
  • The e-Invoice is assigned an IRBM Unique Identifier Number, along with the date, time of validation, and a validation link.
  • This Unique Identifier Number aids in traceability and reduces the chance of tampering.
• Unvalidated Invoice:
  • If errors are encountered, the supplier is notified with an error message.
  • The supplier needs to correct the errors and resubmit the e-Invoice for validation.

Step 3 – Notification

Upon successful validation, IRBM notifies both the supplier and buyer through the MyInvois Portal. Notifications are also sent via email and include invoice clearance confirmation or buyer rejection requests if applicable.

Step 4 – Sharing of e-Invoice

After validation:

• The supplier shares the validated e-Invoice with the buyer.
• The e-Invoice includes a QR code, which can be scanned to verify its existence and current status through the MyInvois Portal.

Step 5, 6, and 7 – Rejection or Cancellation

After the validation, suppliers and buyers have the ability to cancel or reject the e-Invoice within a stipulated 72-hour timeframe.

Buyer-Initiated Rejection:

Rejection Request:

• The buyer can request a rejection within 72 hours if there are errors in the e-Invoice.
• The rejection request must specify the unique identifier of the e-Invoice and include the reason for rejection, such as incorrect SST numbers, business registration numbers, or other business-related information.

Supplier Response:

• Upon receiving the rejection request, the supplier is notified.
• If the supplier agrees with the provided

Solution:

• Training Programs: Implement comprehensive training programs to educate staff on using the MyInvois Portal effectively.
• User Guides: Develop detailed user manuals and provide step-by-step instructions.
• Ongoing Support: Offer continuous support through helpdesks and regular refresher courses.

Data Security

Challenge:

Maintaining the security and confidentiality of sensitive financial data during the e-Invoice process.

Solution:

Encryption: Use strong encryption technologies for data transmission to safeguard information.

Access Control: Implement strict access controls, ensuring that only authorized personnel can access sensitive data.

Regular Audits: Regularly audit systems and practices to ensure compliance with security protocols and identify potential vulnerabilities.

Compliance with Regulations

Challenge:

Keeping up with the latest regulations and compliance requirements set by the tax authorities.

Solution:

Regular Updates: Stay informed about updates and changes in e-Invoicing regulations through official channels and industry associations.

Compliance Tools: Utilize built-in compliance features of the MyInvois Portal to ensure adherence to the latest requirements.

Expert Consultation: Consult with tax experts to understand and implement necessary compliance measures.

7. Best Practices for Using MyInvois Portal

Effective Utilization of Portal Features

Explore All Functionalities: Familiarize yourself with all the features of the MyInvois Portal to fully leverage its capabilities.

Batch Uploads: Use batch upload functionality to handle large volumes of invoices efficiently.

Dashboard Services: Utilize the reporting and dashboard services for enhanced transparency and insight into your invoicing processes.

Maintain Accurate Records

Validate Information: Double-check all information before submitting e-Invoices to ensure accuracy and reduce the likelihood of errors.

Regular Updates: Keep your business information, such as TIN and contact details, updated in the system.

Documentation: Retain thorough documentation of all transactions and communications related to e-Invoices for audit purposes.

Continuous Improvement

Feedback Mechanism: Implement feedback mechanisms to gather insights from users and stakeholders on their experience with the MyInvois Portal.

Iterative Improvements: Use feedback to make continuous improvements to your processes and system integrations.

Stay Informed: Regularly attend workshops and training sessions offered by the tax authority to stay updated on best practices and new features.

8. Future Trends in e-Invoicing

Advanced Analytics

Predictive Analytics:

Leveraging data analytics to predict payment patterns and improve cash flow management.

Business Insights:

Utilizing advanced analytics to gain deeper insights into financial health and operational efficiency through e-Invoice data.

Integration with Other Digital Platforms

Interoperability:

Promoting interoperability with other digital platforms like accounting software, inventory management systems, and supply chain solutions for a more integrated digital ecosystem.

Blockchain Technology:

Use of Artificial Intelligence (AI) and Machine Learning (ML)

Automated Error Detection:

AI and ML could be used to automatically detect and correct errors in e-Invoices, reducing manual intervention.

Enhanced Decision-Making:

AI-driven insights can help businesses make more informed decisions regarding credit management, payment terms, and financial forecasting.

The e-Invoice model via MyInvois Portal offers a comprehensive, user-friendly solution for businesses seeking to streamline their invoicing processes. By leveraging its features, businesses can enhance efficiency, accuracy, and compliance, while providing a transparent and seamless experience for both suppliers and buyers.

Implementing best practices, addressing potential challenges proactively, and keeping abreast of future trends will enable businesses to fully benefit from the MyInvois Portal’s capabilities. As digital transformation continues to evolve, the role of platforms like MyInvois Portal will become increasingly vital in maintaining robust, transparent, and efficient invoicing systems.

Conclusion:

Both methods serve the primary objective of facilitating e-Invoice processes in compliance with IRBM guidelines. Your choice will depend on your business size, technical capabilities, and need for efficiency.

By understanding the workflows and functionalities of both, businesses can make an informed decision for effective e-Invoice management.