Government simplifying e-invoicing for businesses


MELAKA: Putrajaya is in the final stages of reviewing ways to simplify e-invoicing to further assist entrepreneurs, says Datuk Seri Anwar Ibrahim.

The Prime Minister said this follows feedback from entrepreneurs who raised concerns about bureaucratic processes between federal and state governments.

“Those who are used to going to the state land offices know that the bureaucracy can be extraordinary. People have to wait for hours.

“So, when it comes to entrepreneurs, the first issue is that we must improve bureaucratic processes. I acknowledge that this is something we can improve.

“Some have also complained about e-invoicing. I am at the final stage of reviewing how we can simplify it,” he said.

Anwar said this during his winding-up speech on the president’s policy speech at the PKR National Congress yesterday.

He said the government would also seek to strike the right balance in addressing issues arising from e-commerce.

Early last month, Anwar announced measures to ease e-­invoicing implementation, including a Special Voluntary Disclosure Programme for e-invoicing until Dec 31, 2027.

The programme allows taxpayers to voluntarily rectify omissions, errors or non-compliant e-invoices without penalties.

“During this period, any updates, reviews or corrections submitted voluntarily by taxpayers will not be subject to penalties by the Inland Revenue Board.

“This is a big decision as such an arrangement is typically not applied when dealing with income tax matters,” Anwar had said in Parliament then.

A one-year capital allowance was also given for qualifying expenditure on information and communications technology equipment and software used to implement e-invoicing.

The announcement builds on concessions introduced in April, when businesses with annual turnover of between RM1mil and RM5mil were given a 12-month transition period until Dec 31, 2027, during which they may continue issuing consolidated e-invoices without penalties.

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