Malaysia is implementing its mandatory e‑invoicing system through phased deadlines based on annual revenue thresholds. The Inland Revenue Board (IRBM) issued revised guidance in February 2025 and made further updates on June 5, 2025.
Revised Implementation Schedule:
- RM5 million–RM25 million turnover: starts 1 July 2025 (transition through 31 Dec 2025)
- RM1 million–RM5 million: starts 1 January 2026 (transition through 30 Jun 2026)
- Up to RM1 million: starts 1 July 2026 (transition through 31 Dec 2026)
- Below RM500,000: temporarily exempted
Businesses get a six‑month grace period after initial deadlines, during which consolidated e-invoices remain permitted and penalties are suspended. However, from 1 January 2026, any transaction over RM10,000 must be individually e‑invoiced; a consolidated format is not allowed for such transactions.
Malaysia E‑Invoicing 2025: A Quick Refresher
Malaysia’s e‑invoicing mandate is part of the government’s larger push for digital tax compliance and financial transparency. Under this system, businesses must issue, transmit, and store invoices electronically, with each transaction validated in real-time by the IRBM via its MyInvois portal.
Revised Implementation Timeline (as of June 2025)
| Annual Turnover | Mandatory E-Invoicing Date | Grace Period Ends |
| RM5M – RM25M | 1 July 2025 | 31 Dec 2025 |
| RM1M – RM5M | 1 January 2026 | 30 June 2026 |
| Up to RM1M | 1 July 2026 | 31 Dec 2026 |
| Below RM500,000 | Temporarily Exempt | – |
During the grace period, consolidated e‑invoices will still be accepted, and penalties will not be enforced, giving businesses extra time to adapt.
What Exactly Is E‑Invoicing — and How Is It Different?
If you’re used to traditional paper or PDF invoices, e‑invoicing might sound similar, but it’s much more structured and controlled.
Here’s what sets it apart:
| Traditional Invoicing | E‑Invoicing (MyInvois System) |
| Manually created PDF or printed invoice | System-generated XML or JSON file |
| Sent directly to customer | Sent first to IRBM, then to customer after validation |
| Few format requirements | Must include 50+ mandatory fields and follow IRBM format |
| Manual record-keeping | Electronic storage, with unique QR code validation |
| Delays and disputes possible | Real-time verification and instant issuance |
Every e‑invoice must pass through the MyInvois system, receive validation, and be assigned a unique identifier and QR code.
It’s not just about going paperless — it’s a full shift in how the government and businesses manage tax reporting, audit trails, and invoice legitimacy.
Why This Matters for SMEs, Freelancers, and Bookkeepers
E‑invoicing will soon become the standard operating procedure, and the penalties for non-compliance could include tax consequences, delays in filing, and disrupted business operations.
If you’re:
- A retail shop owner issuing many daily invoices
- A freelance bookkeeper managing multiple clients’ records
- An SST-registered SME with growing revenue
- Or even a home-based business looking to scale…
This rollout directly affects how you operate, and staying ahead gives you a clear advantage.
Million Software Compliance with Malaysia’s E‑Invoicing Rules
If all this sounds overwhelming, don’t worry. Local software providers like Rockbell have already built solutions that simplify everything.
Million Accounting with Invoicing Software is fully aligned with IRBM’s latest guidelines, offering built-in e‑invoicing features without the steep learning curve.
Let’s break down how Million helps you stay compliant.
What is Million Accounting?
Million Accounting with Invoicing Software is a locally developed desktop (on‑premise) solution tailored for SMEs, freelance accountants, and bookkeepers in Malaysia. It integrates accounting, invoicing, inventory, SST calculation, and supports e‑invoice features.
1. Structured Data Format & IRBM Compatibility
Million Software supports the export of e‑invoices in XML and JSON formats — exactly what IRBM requires.
Each invoice includes all 55+ mandatory fields, such as:
- Tax Identification Number (TIN)
- SST classification
- Product codes and units of measure
- UOM and classification codes
- Payment terms, tax values, and line-item details
No need to manually create or format these — the software auto-generates them as you create invoices.
2. MyInvois Portal Integration via API
Million allows you to connect directly to IRBM’s MyInvois system, using intermediary APIs for real-time:
- Validation
- QR code generation
- E‑invoice transmission and status updates
Rockbell also provides setup guidance, video walkthroughs, and support documents, making it easy even if you’ve never touched an API before.
3. Supports Consolidated & Self-Billed Invoices
During the grace period (e.g. July–Dec 2025 for RM5M–25M businesses), the system still allows:
- Consolidated e‑invoices for recurring transactions or buyers without a TIN
- Self-billed invoices for suppliers under contract
These features are already built into the software — no need for add-ons or manual workarounds.
4. Amendment & Cancellation Support
Mistakes happen, and IRBM allows invoice cancellations within 72 hours or credit note issuance afterwards.
Million makes this easy with:
- Built-in cancellation workflows
- Automatic credit note generation
- IRBM-compliant audit trails
This reduces stress during audits or customer disputes — your system always has a paperless record.
5. SST Compliance and Item-Level Control
Each item in your inventory can be configured with:
- SST tax codes
- Units of measurement (UOM)
- Product classification codes
This helps ensure flawless validation, especially important if you sell diverse items with different tax implications.
Preparing Your Business: What You Should Do Now
With just months before the next rollout phase begins, here are the essential steps you can take today:
Step 1: Know Your Implementation Deadline
Check your annual turnover and determine your start date. If you’re between RM5M and RM25M, you must begin e‑invoicing by 1 July 2025.
Step 2: Get Your TIN (Tax Identification Number)
Every taxpayer will need a TIN to issue or receive e‑invoices. If you don’t have one yet, apply through the MyTax portal.
Step 3: Choose Compliant Software
You’ll need a solution that supports:
- IRBM’s technical specifications
- API or portal submission
- Real-time validation
- Amendment and cancellation workflows
Million Software checks all these boxes and is ready to go — no patching or workarounds needed.
Step 4: Train Your Team or Accountant
If you’re a bookkeeper or finance team member, now’s the time to learn how to generate and send e‑invoices correctly. Rockbell provides guides and tutorials, and their support team is based right here in Malaysia.
Step 5: Apply for Grants (If Eligible)
If you’re a small business or hawker, check if you’re eligible for the MSME Digital Grant MADANI or the Hawker Grant to help fund your software upgrade.
Rockbell can assist you with the application process.
Common Questions About Malaysia’s E‑Invoicing
Q: Do freelancers and sole proprietors need to comply? Yes — unless your annual turnover is below RM500,000 (currently exempt), you’ll need to follow the same rollout schedule. Better to be ready early.
Q: What happens if I issue a manual invoice after my compliance date? IRBM may not recognise it, and you could face issues during tax filing or audits. Only e‑invoices validated through MyInvois will be legitimate.
Q: Will I need a developer to integrate my system with MyInvois? Not necessarily. Million Software offers ready-made connections and tutorials, so even non-technical users can submit invoices correctly.
Q: Can I still print or email invoices to customers? Yes — once the e‑invoice is validated and issued by IRBM, you can print or email the version with the official QR code and unique invoice ID.
Why Choose Million Software?
Choosing a local provider matters, and Rockbell has been supporting Malaysian businesses for over 30 years.
With Million Software, you get:
- Accounting and invoicing in one desktop solution
- Inventory, tax, and SST integration
- E‑invoicing features built specifically for IRBM
- Local customer support and training
- Step-by-step onboarding for small businesses
If you’re a solo entrepreneur, an outsourced accountant, or a team managing hundreds of invoices per month, Million Software gives you the tools to stay ahead without feeling overwhelmed.
Final Thoughts: Don’t Wait Until the Deadline
Malaysia’s shift to e‑invoicing is not a trend — it’s the future of doing business.
And while the grace periods offer a buffer, waiting too long to adapt puts your business at risk of non-compliance, lost data, or workflow chaos.
With solutions like Million Accounting with Invoicing Software, you can make the transition smoothly and confidently.
Ready to Get Started?
Visit www.rockbell.com.my. Contact the Rockbell team for a free consultation or software demo
Don’t get left behind — go digital with confidence.
