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When Must New Businesses Exceeding RM500k in Revenue in 2023–2025 Start E-invoicing in Malaysia

Table of Contents

Table of Contents

The Inland Revenue Board of Malaysia (IRBM) has introduced a phased rollout of e-Invoice Malaysia. One key area of focus is how the rules apply to new businesses e-Invoice implementation, especially those that begin operations between 2023 and 2025. Understanding the e-Invoice implementation deadline is crucial for compliance.

New Businesses in Malaysia and the RM500,000 e-invoicing Threshold

For companies set up between 2023 and 2025, the rule is straightforward. If annual turnover or revenue reaches RM500,000 or more, the business must implement e-Invoice by 1 July 2026.

  • Applies to all businesses starting in 2023, 2024, or 2025.
  • The threshold is RM500,000 annual revenue.
  • The deadline is fixed at 1 July 2026 for those crossing the threshold.

If Revenue Falls Below RM500,000

If the business earns less than RM500,000 in its first year, the requirement is delayed. Once the RM500,000 threshold is crossed, the business must start e-Invoice from 1 January of the second year after exceeding the limit.

Example:

  • Company starts in 2024, revenue is RM300,000.
  • In 2025, revenue rises to RM600,000.
  • Implementation begins 1 January 2027.

Clarifying Different e-invoicing Scenarios for Companies in Malaysia

To avoid confusion, here is a breakdown of how e-Invoice deadlines apply across different types of companies:

Companies operating since YA 2022

  • Not exempt: Must start e-Invoice by 1 July 2026.
  • Revenue between RM500,000 and RM1 million in YA2022: Phase 5, begins 1 July 2026.
  • Revenue below RM500,000 in YA2022:
    • If revenue exceeds RM500,000 during YA2023–YA2025 → start 1 July 2026.
    • If revenue exceeds RM500,000 only in YA2026 or later → start 1 January of the second year after crossing the threshold.

Companies in Malaysia starting in YA2023–YA2025

  • Revenue above RM500,000 → start 1 July 2026.
  • Revenue below RM500,000 →  exempt from e-invoicing
  • If the threshold is crossed only in YA2026 or later → start 1 January of the second year after crossing the threshold.

Companies in Malaysia starting in YA2026

  • Revenue of RM500,000 or more → implement from 1 January 2028.
  • Revenue below RM500,000 → exempt from e-Invoice requirement.

Why These e-invoice Implementation Rules Matter

This structure ensures businesses of different sizes and starting periods have time to adjust. It also aligns with the latest e-Invoice update, which introduces compliance in phases rather than all at once.

What New Businesses in Malaysia Should Do

To prepare for e-Invoice Malaysia:

  • Track revenue carefully against the RM500,000 threshold.
  • Review whether your company qualifies for exemption.
  • Set up accounting systems that support e-Invoice integration.
  • Consider early voluntary adoption for smoother transition.

Conclusion

For businesses starting between 2023 and 2025, crossing the RM500,000 revenue line sets the e-Invoice implementation deadline at 1 July 2026. Companies starting earlier or later have different timelines, but the direction is clear: all businesses above the threshold will eventually need to comply with e-Invoice Malaysia. Preparing now ensures compliance with the latest e-Invoice update and avoids last-minute disruptions.


Need Help to Implement e-invoice Seamlessly? Explore the Best e-invoicing Software Malaysia – JomeInvoice

JomeInvoice: Best  e-invoicing Software Malaysia

When it comes to integrating best e-invoicing software solutions for both small and large enterprise Malaysia, JomeInvoice has quickly become a standout choice, positioning itself among the top middleware as e-invoicing platforms in the country. With its user-friendly  features and robust e-invoice system compatibility, it’s no surprise why many businesses are turning to JomeInvoice for a seamless transition to the LHDN e-invoice compliance.

Why JomeInvoice is the Best e-invoicing Software Provider for SMEs and Large Enterprise Malaysia:

JomeInvoice stands out as the most user-friendly and comprehensive e-invoicing software solution, offering the perfect balance of flexibility, compliance, and support for both SMEs and large enterprise Malaysia. Whether you are transitioning into the LHDN e-invoicing mandate or looking to streamline your current invoicing process, JomeInvoice provides everything you need—from free trials to ongoing updates and local support.

  1. Flexible System Compatibility
    JomeInvoice offers seamless integration with popular systems such as SAP ECC6, S4 Hana, Sage300, MS365, Netsuite, Odoo, Xero & etc. This flexibility makes it ideal for businesses of all sizes—whether you’re an SME or a large enterprise Malaysia, JomeInvoice adapts to your current operations without a hitch.
  2. Full Compliance with LHDN e-invoicing Regulations
    Compliance is key, and JomeInvoice ensures that your business meets all LHDN e-invoicing guidelines. ISO-certified and fully PDPA-compliant, JomeInvoice offers a secure, worry-free invoicing process that keeps you aligned with Malaysia’s regulatory standards.
  3. Trusted by Leading Businesses
    Over 60+ major companies, including those in Phase 1 of Malaysia e-invoicing compliance, rely on JomeInvoice for their invoicing needs. The platform is proven to handle large-scale, complex transactions seamlessly, making it a trusted choice across industries.
  4. Free Upgrades, Training, and Dedicated Support
    JomeInvoice keeps your business up to date with automatic upgrades that maintain LHDN compliance. Plus, free training and access to a dedicated Malaysian support team ensure your staff can easily adapt to the platform. With cloud server capabilities, you’ll also benefit from secure, flexible invoicing solutions.
  5. Backed by a Listed Company
    JomeInvoice is not just reliable but also backed by a publicly listed company on Bursa Malaysia. This adds an extra layer of trust and assurance for businesses looking to invest in long-term solutions.

Ready to streamline your e-invoicing processes?

Contact JomeInvoice today and take advantage of the comprehensive e-invoicing software features! Our dedicated team is ready to help your business stay ahead with compliance and efficiency.


Contact JomeInvoice Sdn Bhd:

  • Address:
    Level 38, MYEG Tower, Empire City Damansara, Jalan PJU 8, Damansara Perdana, 47820 Petaling Jaya, Selangor
    D-04-07, Plaza Bukit Jalil (Aurora Place), No. 1, Persiaran Jalil 1, Bandar Bukit Jalil, 57000 Kuala Lumpur
  • Phone: +6016-732 0163
  • Social Media:
    LinkedIn | Facebook

Don’t wait—schedule a free e-invoice service consultation today and see why JomeInvoice is the top choice for businesses nationwide!


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