E-invoicing streamlines processes, increases efficiency, reduces costs, improves financial visibility, enhances compliance, and mitigates fraud risks, making it an essential component of digital transformation for businesses. The Inland Revenue Board (IRB) recognises the benefits of e-invoicing and will soon provide guidelines to facilitate its implementation.
Malay Mail reports that the IRB plans to issue e-invoicing guidelines to companies with a revenue of over RM100 million in July. The guidelines aim to familiarise these companies with the new e-invoicing initiative. Additionally, the IRB’s CEO, Datuk Dr Mohd Nizom Sairi, announced that nationwide engagement sessions will be conducted to provide information and clarification on the implementation of e-invoicing.
The CEO emphasised the importance of industry participation in the early stages to align the developed system with industry needs. The guidelines, addressing technical requirements, will be released in July. The engagement sessions will gather feedback from companies to ensure a cost-effective transition to the e-invoicing system.
The implementation of e-invoicing is expected to enhance business efficiency and simplify tax reporting by providing pre-filled information. The initiative initially targets 4,000 companies with a revenue exceeding RM100 million, with implementation planned for 1 June 2024.
Mohd Nizom highlighted the alignment of the e-invoicing initiative with the digital revolution, facilitating information exchange and trade transactions at domestic and global levels. Ongoing engagement with industry feedback will continue until the system’s launch.
Ultimately, the e-invoicing system will enable companies to save costs in record keeping and business execution. Despite industry queries, the IRB remains optimistic about the implementation, citing successful adoption in various countries.
The e-invoicing system supports the digitisation agenda outlined in the Malaysian Digital Economy Blueprint (MyDigital) and is part of the National e-Commerce Strategic Roadmap (NESR) 2.0, catering to businesses’ global information exchange and trade transaction needs. It involves the electronic delivery of invoices in an integrated electronic format.
