Why choose Goldsoft ERP for Malaysia E-Invoicing?

e-invoice signifies the digital process of documenting each transaction electronically. With the comprehensive adoption of electronic invoicing, physical receipts will become unnecessary, and all transaction records will be securely stored in the LHDN database.

1. Invoice: A commercial document that itemises and records a transaction between a Supplier and Buyer, including issuance of  self-billed e-Invoice to document an expense.

2. Credit Note: A credit note is issued by Suppliers to correct errors, apply discounts, or account for returns in a previously issued e-invoice with the purpose of reduced the value of the original e-invoice. This is used in situations where the reduction of the original e-invoice does not involve returning of monies to the Buyer;

3. Debit Note: A debit note is issued to indicate additional charges on a previously issued e-Invoice; 

4. Refund Note: A refund e-invoice is a document issued by a Supplier to confirm the refund of the Buyer’s payment. This is used in situations where there is a return of money to the buyer.

No. The issuance of e-Invoice is not limited to only transactions within Malaysia. It is also applicable for cross-border transactions.

According to the e-Invoicing guidelines set forth by LHDN (Lembaga Hasil Dalam Negeri), Malaysia, these three transaction types are currently considered primary within the invoicing scope.

B2B (Business-to-Business) Transactions: B2B transactions involve the exchange of goods or services between two businesses. These transactions occur between manufacturers, wholesalers, retailers, or service providers. 

B2C (Business-to-Consumer) Transactions：B2C transactions involve the sale of goods or services from a business directly to consumers. These transactions are commonly seen in retail environments, online shopping platforms, and service industries.

B2G (Business-to-Government) Transactions: B2G transactions involve business entities providing goods or services to governmental organizations or agencies. 

No. An e-invoice pertains to an invoice that is created, issued, and capable of generating documents that the LHDN system can automatically interpret in an electronic format.

Documents meeting these criteria include XML and JSON formats.

Documents that do not meet these criteria include PDF, DOC, JPG, etc.

A TIN number is a person’s tax number, refer to the link for details: https://www.goldsoft.com.my/e-invoice-malaysia-what-is-tin-number

IRBM has provided two (2) e-Invoice transmission mechanisms:

1. Through the MyInvois Portal provided by IRBM; and

2. Application Programming Interface (API).

MyInvois Portal:

• Billing Method: Allows sellers to generate e-invoice directly and allows sellers to batch generate through spreadsheet upload for processing multiple transactions.
• Invoice Sharing: Available in PDF, XML, JSON, CSV format in both sellers & buyers’ tax account.
• Key Feature: e-Invoice easily keep as it availables in both sellers & buyers tax account.
• Ideal Users: Sellers who have small amount of transactions e.g. Micro & SME.

API Integration:

• Billing Method: Sellers need to upload invoices via API connection after the invoices are ready (generated through seller’s own ERP system)
• Invoice Sharing: Through QR code on the e-invoices.
• Key Feature: Sellers can generate invoices using their current ERP/accounting system and then upload them through the API interface for LHDN to review and certify in a single step.
• Ideal Users: Sellers who have large  transaction volume and have own accounting ERP/accounting system.

All sellers must implement e-invoicing, but LHDN allows sellers to issue standard bills/receipts/invoices based on sellers' current practices to those buyers not requesting e-invoices for tax deduction purposes. Subsequently, sellers are required to consolidate all standard invoices and issue a consolidated e-invoice at the end of each month.

1. Automotive
2. Aviation
3. Luxury goods and jewellery
4. Construction
5. Wholesalers and retailers of construction materials
6. Licensed betting and gaming
7. Payment to agents /dealers/distributors 

Yes. For taxpayers, an e-invoice requires either a TIN or an IC number, but for non-taxpayers, the TIN number is mandatory.

No, the supplier would need to cancel the e-invoice within 72 hours from the time of validation and reissue a new e-invoice. The cancellation request should specify the reason.

Any changes after 72 hours from time of validation would require the supplier to issue a new e-Invoice (i.e., debit note, credit note, refund note e-Invoice) to adjust the original e-Invoice issued.

Yes, e-Invoices can be canceled within 72 hours of issuance. To cancel an e-invoice. the supplier/customer must submit a cancellation/rejection request to buyer/seller within 72 hours via the MyInvois Portal.

Any changes after 72 hours from time of validation would require the supplier to issue a new e-Invoice (i.e., debit note, credit note, refund note e-Invoice) to adjust the original e-Invoice issued.

Once the 72-hour window has passed, the e-invoice status will automatically transition to "Valid," and any subsequent modifications will necessitate the issuance of a Debit or Credit Note.

After an e-Invoice is generated, it is sent to IRBM. IRBM then verifies mandatory fields and other crucial details, informing both supplier and buyer accordingly. Additionally, they can access a summary of generated e-Invoices via the My Invois Portal.

Failure to issue e-Invoice is an offence under Section 120(1)(d) of the Income Tax Act 1967,

and will result in a fine of not less than RM200 and not more than RM20,000 or imprisonment not exceeding 6 months or both, for each non-compliance.