ALOR SETAR: The Inland Revenue Board (LHDN) in Kedah is prepared to conduct on-site training and specialised simulations for Small and Medium Enterprises (SMEs) to help them understand the e-Invoice system, which will be mandatory from January 2026.
Kedah LHDN director Nor Azam Mohamad said 23,712 companies in the state were required to register for the system, with registrations expected to increase ahead of its implementation.
“Some employers or companies have requested us to visit their premises to provide hands-on training and guidance to staff managing invoices, and we are ready to do so if called upon.
“Looking nationwide, there has been significant progress in each implementation phase through various programmes, briefings, campaigns, and activities for employers and taxpayers,“ he told reporters after the Kedah-level Mega e-Invoice Roadshow here today.
He said from 2024 to March this year, 11 e-Invoice briefings were held involving 784 participants, while 20 in-person sessions attracted 1,694 attendees, adding that he hoped such activities would continue.
“The e-Invoice system isn’t just about compliance; more importantly, it assists businesses and taxpayers. With e-Invoice, tax reporting becomes easier as every transaction is supported by complete documentation,“ he explained.
Beginning Jan 1, 2026, e-Invoicing will become mandatory, with LHDN shifting its focus to full enforcement and monitoring of the system.
In February, the government postponed the third phase of e-Invoicing for SMEs with annual sales between RM150,000 and RM500,000 to Jan 1 next year.
The e-Invoice system was introduced on Aug 1, 2024, for companies with sales exceeding RM100 million, followed by the second phase on Jan 1 this year for companies with sales between RM25 million and RM100 million.
However, businesses with annual sales below RM150,000 are exempted, benefiting more than 700,000 small traders nationwide.
