This is the rules reference. For the step-by-step in the software, see the e-Invoice (MyInvois) guide.
e-Invoicing is being introduced in phases by annual turnover. Find your band to know your start date; the smallest businesses are exempt for now, and every phase opens with a grace period.
The phased timeline
| Phase | Starts | Annual turnover / revenue |
|---|---|---|
| 1 | 1 August 2024 | Above RM100 million |
| 2 | 1 January 2025 | RM25 million to RM100 million |
| 3 | 1 July 2025 | RM5 million to RM25 million |
| 4 | 1 January 2026 | RM1 million to RM5 million |
| 5 | 1 July 2026 | Up to RM1 million (above the exemption) |
Exemption: businesses with annual turnover below RM500,000 are currently exempt until further notice.
What a phase means
From your phase’s start date, your sales must be issued as e-Invoices validated through MyInvois, not ordinary invoices. Your turnover band is based on your annual revenue (the audited financial statements or tax return for the relevant year determine which phase you fall into).
The grace period
Each phase opens with a 6-month grace period. During it, LHDN allows a consolidated e-Invoice for all transactions and does not penalise non-compliance, provided you consolidate. It is time to get your process right, not a reason to delay, early starters have the smoothest go-live.
Related
- Reference: Scope & exemptions
- How-To: e-Invoice (MyInvois) guide
- Blog: the rollout timeline