IRB’s e-invoice review finds RM3.5 billion in undeclared income, prompting 38,906 taxpayers to regularise tax affairs with RM760.7 million in taxes payable.
PUTRAJAYA: The Inland Revenue Board (IRB) has identified taxpayer non-compliance through its review of e-invoice data, prompting thousands of taxpayers to voluntarily regularise their tax affairs.
In a statement today, the IRB said it has been issuing reminder notices, or “nudges”, to encourage taxpayers to disclose any undeclared income or rectify errors in their tax filings.
As a result of this approach, 38,906 taxpayers have submitted their Income Tax Return Forms, declaring a total of RM3.5 billion in income, involving RM760.7 million in taxes payable.
The IRB said taxpayers who have yet to submit their returns despite receiving reminders may face further action, including audits and enforcement measures.
“In this regard, the IRB calls on all parties to fulfil their tax obligations by accurately reporting income and paying taxes accordingly,” read the statement.
To further strengthen compliance with the e-invoicing system, the IRB conducted the 2026 National-Level E-Invoice Compliance Review Operation nationwide from April 20 to 24.
During the operation, 108 taxpayers were found to have yet to implement e-invoicing, despite being required to do so under Phase 1 and Phase 2 of the rollout.
Since the e-invoice system was introduced on Aug 1, 2024, a total of 225,604 taxpayers have adopted the system, issuing a combined 1.299 billion e-invoices.
The IRB said this strong uptake reflects positive support from taxpayers for digitalisation initiatives, which are aimed at improving business operations and ensuring more efficient and systematic record-keeping.
