IRBM Publishes Latest Updates to E-Invoice Guidelines

The Inland Revenue Board of Malaysia (IRBM) has released updated e-invoicing guidelines, revising the scope of taxpayers exempted from Malaysia’s mandatory e-invoicing requirements.

On 4 October 2024, IRBM published:

• E-Invoice Guideline Version 4.0
• E-Invoice Specific Guideline Version 3.1

These updates primarily focus on clarifying and narrowing the list of entities exempt from issuing e-invoices.

Updated List of Exempted Taxable Persons

Under the revised guidelines, the following persons are exempt from issuing e-invoices, including self-billed e-invoices:

• Foreign diplomatic offices
• Individuals who are not conducting business
• Statutory bodies, statutory authorities, and local authorities, limited to:
  • Collection of payments, fees, charges, statutory levies, summonses, compounds, and penalties carried out under written law
  • Transactions for goods sold or services performed before 1 July 2025
• International organizations, for goods sold or services performed before 1 July 2025
• Taxpayers with annual turnover or revenue below RM 150,000 (approximately EUR 30,400)

Obligations for Suppliers

Suppliers providing goods or services to the exempted persons listed above are still required to issue e-invoices for those transactions.

Key Change from Previous Versions

Earlier versions of the guidelines broadly exempted state, government, local, and statutory authorities, as well as certain government-related organizations. Under the latest update, many of these entities are now brought into the scope of the mandatory e-invoicing framework, except where the specific exemptions above apply.