- Businesses with annual turnover or revenue below RM3 million are exempt from issuing e-invoices, including consolidated and self-billed e-invoices. The threshold was RM1 million under General Guideline v4.7 (7 July 2026 to 29 August 2026) and rose to RM3 million on 30 August 2026. [e-Invoice General Guideline v4.8, §1.6.1(e)]
- The exemption falls away if the business has a non-individual shareholder, holding company, related company or joint venture partner with annual turnover or revenue of at least RM3 million; those businesses must implement e-invoice from 1 July 2026. [e-Invoice General Guideline v4.8, §1.6.10; LHDN e-Invoice General FAQs, Q90]
- Once a business has been mandated, no exemption is granted again, even if revenue later drops below the threshold. Whether businesses mandated under the old RM1 million rule are now released is an open question LHDN has not addressed. [LHDN e-Invoice General FAQs, Q94]
- Phase 4 (established businesses, FY2022 revenue RM3 million to RM5 million) started 1 January 2026; new businesses commenced 2023 to 2025 with revenue of at least RM3 million start 1 July 2026. Both have a relaxation period until 31 December 2027, with full enforcement from 1 January 2028. [e-Invoice General Guideline v4.8, §1.5; e-Invoice Specific Guideline v4.8, Table 16.1]
- A business that reaches RM3 million in YA2026 or later must implement e-invoice from 1 January of the second year following the year in which it reached the threshold; for YA2026 that is 1 January 2028. [e-Invoice General Guideline v4.8, §1.5; LHDN e-Invoice General FAQs, Q91]
Businesses with annual revenue below RM3 million are generally exempt from the Inland Revenue Board of Malaysia (Lembaga Hasil Dalam Negeri, LHDN, also known as IRBM) e-invoice mandate, but the exemption is neither automatic nor universal. [e-Invoice General Guideline v4.8, §1.6.1(e)] If your business is a subsidiary of a holding company with RM3 million or more in revenue, has a non-individual shareholder with RM3 million or more in turnover, or has a related company or joint venture that meets the threshold, you are still mandated, regardless of your own revenue. [e-Invoice General Guideline v4.8, §1.6.10] And once mandated, you cannot re-qualify for the exemption, even if your revenue later falls back below the threshold. [LHDN e-Invoice General FAQs, Q94]
This guide explains who is exempt, the corporate-structure exceptions that catch owners off guard, what still applies below the threshold, when businesses started in 2023 or later must begin, and what exempt businesses should do as they grow. It reflects the e-Invoice General Guideline v4.8 (30 August 2026) and the e-Invoice Specific Guideline v4.8 (7 July 2026). For a line-by-line account of what changed on 30 August 2026, read our news explainer on General Guideline v4.8 and the RM3 million exemption. For the full mandate picture, start with our complete LHDN e-invoice guide for Malaysia.
What Is the RM3 Million e-Invoice Exemption? (Raised from RM1 Million on 30 August 2026)
The RM3 million e-invoice exemption is the Government of Malaysia’s concession that taxpayers with annual turnover or revenue of less than RM3 million are not required to issue e-invoices, including self-billed e-invoices, under LHDN’s mandate. [e-Invoice General Guideline v4.8, §1.6.1(e)] Until 29 August 2026 the figure was RM1 million; General Guideline v4.8, published 30 August 2026, raised it to RM3 million. The rollout is phased by revenue; Phase 4, which covers most Malaysian small and medium enterprises (SMEs), mandates established businesses with FY2022 revenue between RM3 million and RM5 million from 1 January 2026.
| Group | Revenue basis | Mandatory date | Relaxation ends | Full enforcement |
|---|---|---|---|---|
| Phase 4 (established businesses) | FY2022 revenue RM3M to RM5M | 1 January 2026 | 31 December 2027 | 1 January 2028 |
| New businesses (commenced 2023 to 2025) | Current revenue of at least RM3M in YA2023, YA2024 or YA2025 | 1 July 2026 | 31 December 2027 | 1 January 2028 |
| Below RM3M | Annual turnover or revenue of less than RM3M | Exempt* | n/a | n/a |
* Subject to the corporate-structure caveats in the next section. Table 16.1 of the e-Invoice Specific Guideline v4.8 groups both mandated rows as “taxpayers with an annual turnover or revenue of up to RM5 million”, with the two implementation dates above and relaxation until 31 December 2027 for both; it names no lower figure, so it did not need amending when the threshold moved. [e-Invoice General Guideline v4.8, §1.5, §1.6.1(e); e-Invoice Specific Guideline v4.8, Table 16.1]
Revenue is assessed on annual turnover or revenue as stated in the audited financial statements (FS) where the business has them, or on the annual revenue reported in the tax return where it does not. [LHDN e-Invoice General FAQs, Q92] For what the extended relaxation period does and does not cover, read our Phase 4 extension to 2028 guide.
How the threshold reached RM3 million. The exemption threshold did not start here. It was first set at RM150,000, a level Parliament’s Public Accounts Committee (PAC) publicly criticised as too low for micro businesses (The Edge Malaysia, 30 July 2025). Micro businesses, under SME Corp Malaysia’s definition, are those with annual turnover below RM300,000 or fewer than five employees. The threshold was raised to RM500,000, then in December 2025 to RM1 million (the figure carried in General Guideline v4.7, in force 7 July 2026 to 29 August 2026), and on 30 August 2026 General Guideline v4.8 raised it to RM3 million. [e-Invoice General Guideline v4.8, §1.6.1(e)] Every threshold and date revision is logged in our LHDN e-invoice implementation update for 2026.
Who Qualifies for the Exemption — and Who Does Not
The below-RM3 million exemption applies to businesses that are genuinely standalone and below the threshold. It applies to every category of taxpayer, including individuals, partnerships, companies and cooperatives, but section 1.6.10 of the General Guideline sets out three conditions under which an apparently small business is still mandated. [e-Invoice General Guideline v4.8, §1.6.10]
Who is exempt
- Sole proprietors whose combined revenue across all businesses registered in their name is below RM3 million, with no corporate shareholder ties to an entity with RM3 million or more in turnover
- Partnerships with revenue below RM3 million and no related-company or group structures
- Private limited companies (Sdn Bhd) with revenue below RM3 million that are independently owned: not subsidiaries of, or related to, any company with RM3 million or more in turnover
Who is NOT exempt
The exemption does not apply to your business if any of the following are true: [e-Invoice General Guideline v4.8, §1.6.10]
- Your business is a subsidiary of a holding company with annual turnover or revenue of at least RM3 million. Even if your own revenue is RM400,000, the group structure puts you within scope. [§1.6.10(b)]
- A non-individual shareholder (for example, another company) holds a stake in your business AND that shareholder has annual turnover or revenue of at least RM3 million. The corporate shareholder’s revenue is what matters, not just your own. [§1.6.10(a)]
- Your business has a related company or joint venture with annual turnover or revenue of at least RM3 million. “Related company” carries the meaning in section 2 of the Promotion of Investments Act 1986. The association alone is sufficient to remove the exemption. [§1.6.10(c)]
Businesses caught by any of these conditions must implement e-invoice from 1 July 2026, the concessionary implementation date, regardless of their own revenue, and they fall within the “up to RM5 million” relaxation period until 31 December 2027. [e-Invoice General Guideline v4.8, §1.5, §1.6.10; e-Invoice Specific Guideline v4.8, Table 16.1]
The revenue shortcut does not work here. You cannot determine your exemption status from your own profit and loss statement alone. You must also assess who owns your company, what else they own, and what revenue those related entities generate.
Ready to get e-invoice compliant before the deadline?
JomeInvoice connects the systems you already use to MyInvois. Set up before the relaxation period ends.
Electronic Invoicing for Small Businesses Below RM3 Million: What Still Applies
Being exempt from issuing e-invoices does not mean e-invoicing is irrelevant to a small business. Five things still apply below RM3 million.
- You must give your details to buyers and platforms that issue e-invoices for you. When a mandated buyer self-bills a purchase from you, or when you sell through a local e-commerce platform, you are obliged to provide your details. The obligation to issue the e-invoice rests with the platform provider, not with you. [LHDN e-Invoice General FAQs, Q96, Q100]
- The numbered-receipt duty is separate from e-invoicing. Under section 82(1)(b) of the Income Tax Act 1967, businesses with annual gross takings above RM150,000 from goods or above RM100,000 from services must issue serially numbered receipts. This is a general income tax duty, not an e-invoice threshold, and it applies whether or not you are exempt from e-invoicing. [Income Tax Act 1967, s.82(1)(b); summarised in LHDN e-Invoice General FAQs, Q99]
- The RM10,000 rule applies to mandated taxpayers. Any single transaction above RM10,000 must be issued as an individual e-invoice by businesses within the mandate; exempt businesses are not required to issue one. The rule applies from the day you cross the threshold. See our RM10,000 e-invoice rule explainer.
- Voluntary adoption is allowed and the portal is free. LHDN encourages exempt taxpayers to adopt e-invoice voluntarily, and the MyInvois Portal and mobile app are free of charge. [LHDN e-Invoice General FAQs, Q95, Q101, Q102]
- Implementation costs attract a tax deduction. Micro, small and medium enterprises (MSMEs) can deduct up to RM50,000 per year of assessment on environmental, social and governance (ESG) expenditure, including e-invoice consultation fees, from YA2024 to YA2027. See our ESG tax deduction for e-invoice guide. [Budget 2024; LHDN e-Invoice General FAQs, Q17]
Freelancers, part-timers and side businesses have their own considerations, covered in our e-invoicing guide for freelancers in Malaysia.
The Subsidiary and Related Company Trap
The subsidiary and related-company caveat is the most commonly misunderstood part of the exemption, and the one most likely to leave a business assuming it is exempt when it is not.
Consider these four scenarios, re-run at the RM3 million threshold in force from 30 August 2026:
| Scenario | Business Revenue | Structure | Exempt? |
|---|---|---|---|
| Scenario A | RM600K | Sole proprietor, no corporate ties | ✅ Exempt |
| Scenario B | RM800K | Sdn Bhd, 100% owned by Company X (RM3M revenue) | ❌ NOT exempt: subsidiary of a holding company with at least RM3M turnover |
| Scenario C | RM900K | Sdn Bhd, 40% shareholder is another Sdn Bhd (RM2M revenue) | ✅ Exempt: the corporate shareholder is below RM3M (this scenario was NOT exempt under the RM1M rule before 30 August 2026) |
| Scenario D | RM700K | Independent Sdn Bhd, all shareholders are individuals | ✅ Exempt (subject to verification of all shareholder relationships) |
Three worked examples show how each trigger operates, following the logic of LHDN’s own FAQ illustrations, applied at the RM3 million figure in section 1.6.10. Company names and figures are illustrative.
Example 1: corporate shareholder. Sinar Logistik Sdn Bhd (revenue RM4.2 million) holds a 20% stake in Kopi Lorong Sdn Bhd, a cafe generating RM180,000 a year. Kopi Lorong’s own revenue is far below RM3 million, but its non-individual shareholder has turnover of at least RM3 million, so Kopi Lorong must implement e-invoice from 1 July 2026. [e-Invoice General Guideline v4.8, §1.6.10(a)]
Example 2: subsidiary of a larger parent. Bina Jaya Holdings Sdn Bhd (revenue RM3.6 million) owns 51% of Roti Bakar Enterprise Sdn Bhd, a bakery generating RM320,000. Roti Bakar is a subsidiary of a holding company with turnover of at least RM3 million, so it is mandated from 1 July 2026 regardless of its own figures. [e-Invoice General Guideline v4.8, §1.6.10(b)]
Example 3: related company or joint venture. Perdana Agro Sdn Bhd (revenue RM40 million) and Ladang Hijau Sdn Bhd (revenue RM95,000) are related companies within the meaning of section 2 of the Promotion of Investments Act 1986. Ladang Hijau’s connection to Perdana Agro removes its exemption; it must implement e-invoice from 1 July 2026. [e-Invoice General Guideline v4.8, §1.6.10(c)]
Sole proprietors with more than one business
For sole proprietors, LHDN tests the combined annual turnover or revenue of every sole proprietorship business owned or registered under the same individual’s name. [LHDN e-Invoice General FAQs, Q93]
Encik Farid runs three sole proprietorships: Farid Barber (RM1.2 million), Farid Bakery (RM900,000) and Farid Kopitiam (RM1.1 million). Each is below RM3 million; together they total RM3.2 million, so all three must implement e-invoice. If the combined total first reached RM3 million in YA2026, the implementation date is 1 January 2028. [e-Invoice General Guideline v4.8, §1.5; LHDN e-Invoice General FAQs, Q91, Q93]
If you are unsure about your corporate structure: do not assume exemption. Verify with your company secretary or tax advisor whether any shareholder, holding company, or related entity could pull your business into scope. A wrong assumption carries penalty exposure once full enforcement begins on 1 January 2028. For deeper treatment of holding, subsidiary and joint venture structures, read our related company e-invoice FAQ guide. The exposure is set out in our LHDN e-invoice penalty guide for SME owners.
What “Once Mandated, Always Mandated” Means
Once your business becomes mandated, it cannot re-qualify for the exemption, even if its revenue subsequently falls below RM3 million. LHDN grants no exemption after the mandatory implementation year has been determined; taxpayers must continue issuing e-invoices even if turnover or revenue stays under the threshold in later years. [LHDN e-Invoice General FAQs, Q94] The principle sits alongside the implementation-date rules in section 1.5 of the General Guideline, which assign a date once and do not provide for a business to exit the mandate. [e-Invoice General Guideline v4.8, §1.5]
An open question after 30 August 2026. Businesses with revenue between RM1 million and RM3 million were mandated under the RM1 million rule (in force until 29 August 2026), and many have already implemented e-invoice. Whether the threshold increase releases them, or whether “once mandated, always mandated” holds them in scope, is not addressed in General Guideline v4.8, and LHDN has not published a media release or FAQ update on the point as of 30 August 2026. We are not offering a view either way. If you are in this band, keep issuing e-invoices as you do today and ask your tax advisor or LHDN before changing anything; we will update this section when LHDN publishes further guidance.
Businesses that cross the threshold in a future year enter the mandate from the applicable date onward, not just for that year.
What this means for growing businesses: if revenue is approaching RM3 million, begin compliance planning now, not after you cross. Starting on the day you become mandated creates a gap period. If you were mandated earlier and fell behind, the e-Invoice Special Voluntary Disclosure Programme (SVDP) lets you back-file missed or erroneous e-invoices penalty-free from 7 July 2026 to 31 December 2027; see our complete LHDN e-invoice guide. [e-Invoice Specific Guideline v4.8, §17] Our e-invoicing compliance checklist for Malaysia walks through the setup steps in order.
New Businesses (Started 2023 or Later): When Does e-Invoice Start?
A business that commenced operations in 2023 or later has no FY2022 revenue, so LHDN assigns its implementation date from current annual turnover or revenue. Section 1.5 of General Guideline v4.8 restates the rule at the new figure: a business commencing 2023 to 2025 with annual turnover or revenue of at least RM3 million implements from 1 July 2026. A business commencing 2026 onwards implements from 1 July 2026 or its operation commencement date; if its first-year turnover or revenue is expected to be less than RM3 million, the implementation date is 1 January in the second year following the year in which annual turnover or revenue reached RM3 million. [e-Invoice General Guideline v4.8, §1.5; LHDN e-Invoice General FAQs, Q11–Q13, Q91]
| Situation | Revenue pattern | Implementation date |
|---|---|---|
| Commenced 2023 to 2025 | At least RM3M in YA2023, YA2024 or YA2025 | 1 July 2026 (relaxation until 31 December 2027) |
| Commenced 2023 to 2025 | Below RM3M in all of YA2023 to YA2025, meets exemption criteria | Exempt; if RM3M is reached in YA2026 or later, 1 January of the second year following that year (YA2026 crossing = 1 January 2028) |
| Commenced 2026 onwards | First-year revenue expected below RM3M, meets exemption criteria | Exempt until the first year at or above RM3M, then 1 January of the second year following that year (YA2026 = 1 January 2028; YA2027 = 1 January 2029) |
| Commenced 2026 onwards | First-year revenue expected at or above RM3M, or fails the exemption criteria | 1 July 2026 or the operation commencement date, whichever is later |
| Operating in YA2022 with below RM3M | Crossed RM3M in YA2023 to YA2025; or only in YA2026 or later | 1 July 2026; or 1 January of the second year following the crossing year |
| Any of the above | Fails the exemption criteria (non-individual shareholder, holding company, related company or JV of at least RM3M) | 1 July 2026, or the operation commencement date if later, regardless of own revenue |
Source: e-Invoice General Guideline v4.8 (30 August 2026), §1.5, §1.6.1(e), §1.6.10; LHDN e-Invoice General FAQs, Q11, Q12, Q13, Q90, Q91 (FAQ figures still quote the historical RM1 million); e-Invoice Specific Guideline v4.8, Table 16.1.
Applying the logic of LHDN’s own FAQ example at the new figure: a sole proprietorship started in January 2025 with YA2025 revenue of RM185,000 is exempt; if revenue rises to RM3.2 million in YA2027, its implementation date is 1 January 2029. [e-Invoice General Guideline v4.8, §1.5; pattern per LHDN e-Invoice General FAQs, Q12, which still quotes the historical RM1 million threshold]
The related-party caveat still governs: a new business that fails the exemption criteria is mandated on 1 July 2026, or on its commencement date if later, even if its own revenue is a fraction of RM3 million. A subsidiary set up in September 2026 by a parent already on e-invoice must issue e-invoices from its first day. [e-Invoice General Guideline v4.8, §1.5, §1.6.10; LHDN e-Invoice General FAQs, Q13(a)]
What Should Exempt Businesses Do Now?
Being exempt today does not make this topic irrelevant. There are three practical steps every currently exempt business should take:
- Confirm your exemption status formally. Review annual turnover or revenue in your audited financial statements, or your tax return if unaudited, and verify your corporate structure with your accountant or company secretary. Check for any related-company, subsidiary, or corporate shareholder relationships that could affect your status. [e-Invoice General Guideline v4.8, §1.6.10; LHDN e-Invoice General FAQs, Q92]
- Set a revenue growth trigger. If your business could reach RM3 million in the current year of assessment, flag it with your accountant now. Reaching it in YA2026 means an implementation date of 1 January 2028; planning ahead avoids a rushed setup. [e-Invoice General Guideline v4.8, §1.5; LHDN e-Invoice General FAQs, Q91]
- Understand voluntary issuance. Exempt businesses may issue e-invoices voluntarily, for example when a large B2B customer requests one. The MyInvois Portal is free, LHDN encourages early adoption, and there is no penalty for issuing voluntarily while below the threshold. [LHDN e-Invoice General FAQs, Q95, Q102]
Two official documents are worth bookmarking: the e-Invoice General Guideline v4.8 (implementation timeline in section 1.5, exemption and the RM3 million threshold in sections 1.6.1(e) and 1.6.10) and the e-Invoice Specific Guideline v4.8 (relaxation rules in Section 16, SVDP in Section 17).
How JomeInvoice Helps When You Cross the Threshold
For businesses approaching the RM3 million mark, or that have just discovered a corporate shareholder or holding company puts them in scope, JomeInvoice provides a low-disruption path to compliance.
The most common challenge for newly mandated SMEs is time: many realise their mandate late, then face pressure to implement before the relaxation period ends. JomeInvoice is a Malaysian-built MyInvois middleware designed for exactly this position.
- No custom development on your side. JomeInvoice custom-integrates with your existing accounting software, POS, ERP or e-commerce platform via API, SFTP or webhooks, without replacing your setup.
- TIN verification before submission. Buyer Tax Identification Number (TIN) formats and fields are verified before each e-invoice is submitted, reducing rejections at validation.
- RM10,000 threshold detection. Transactions that require an individual e-invoice are flagged automatically from day one of your mandate.
- Real-time compliance dashboard. Monitor validated e-invoices, rejection alerts and monthly consolidated e-invoice submissions in one place; LHDN guideline updates are absorbed by JomeInvoice, not your systems.
- ISO 9001, ISO 20000-1 and ISO 27001 certified, PDPA compliant, MySTI certified. Backed by AGMO Holdings Berhad, a Bursa Malaysia-listed company, with data hosted onshore in AWS Malaysia.
The best time to start is before full enforcement begins on 1 January 2028, not after. Talk to the JomeInvoice team to see how the integration works for your specific system, or start self-serve at sme.jomeinvoice.my.
Check your structure, not just your sales figure
The RM3 million exemption (RM1 million until 29 August 2026) protects standalone businesses only; a non-individual shareholder, holding company or related company with RM3 million or more in turnover mandates you from 1 July 2026, and once mandated you stay mandated. Confirm your status with your company secretary now, and plan for compliance before the relaxation period ends on 31 December 2027.
Crossing RM3 million? Get compliant before the mandate reaches you.
JomeInvoice custom-integrates with your existing system and keeps every e-invoice validated with LHDN.
Disclaimer: This article is for general informational purposes only and does not constitute legal or tax advice. LHDN guidelines are subject to updates. Always refer to the latest official LHDN e-Invoice Guidelines at myinvois.hasil.gov.my and consult a qualified tax professional for advice specific to your business.
Frequently Asked Questions
Is my business exempt from e-invoice if revenue is below RM1 million (now RM3 million)?
Generally yes. Since 30 August 2026, businesses with annual turnover or revenue of less than RM3 million are exempt from issuing e-invoices, unless the business is a subsidiary of, has a non-individual shareholder in, or is related to an entity with at least RM3 million in turnover. The RM1 million figure applied only until 29 August 2026. [e-Invoice General Guideline v4.8, §1.6.1(e), §1.6.10]
What is the Phase 4 e-invoice threshold in Malaysia?
RM3 million to RM5 million in FY2022 revenue, mandatory from 1 January 2026; the lower bound was RM1 million until General Guideline v4.8 raised the exemption threshold on 30 August 2026. New businesses started 2023 to 2025 with at least RM3 million revenue start 1 July 2026. Both have relaxation until 31 December 2027 and full enforcement from 1 January 2028. [e-Invoice General Guideline v4.8, §1.5, §1.6.1(e); e-Invoice Specific Guideline v4.8, Table 16.1]
Does the RM1 million (now RM3 million) exemption apply to subsidiaries?
No. A subsidiary of a holding company with annual turnover or revenue of at least RM3 million is not exempt, regardless of its own revenue. The same applies where a non-individual shareholder, related company or joint venture partner has at least RM3 million in turnover. [e-Invoice General Guideline v4.8, §1.6.10]
Can my business lose its exemption once mandated?
Yes, permanently. Once mandated, always mandated: LHDN grants no exemption after the mandatory implementation year has been determined, even if revenue later drops below RM3 million. Whether businesses mandated under the earlier RM1 million rule are released by the 30 August 2026 increase has not been clarified by LHDN. Mandate entry is a one-way door, so plan compliance before crossing the threshold. [LHDN e-Invoice General FAQs, Q94]
What happens if I don’t know my FY2022 revenue?
Use the annual turnover or revenue in your FY2022 audited financial statements; if your accounts are not audited, use the annual revenue reported in your tax return for that year of assessment. Ask your accountant to confirm the figure rather than assuming exemption. [LHDN e-Invoice General FAQs, Q92]
What if my revenue crosses RM1 million (now RM3 million) mid-year?
Plan for an implementation date of 1 January in the second year following the year in which you reach RM3 million. Reaching it during YA2026 means e-invoicing from 1 January 2028. Full-year annual turnover or revenue counts, not a mid-year run rate. Crossing RM1 million alone no longer triggers the mandate from 30 August 2026. [e-Invoice General Guideline v4.8, §1.5; LHDN e-Invoice General FAQs, Q91]
Does the MSME exemption apply to sole proprietors?
Yes, if the combined revenue of every sole proprietorship business registered under your name is below RM3 million and no corporate entity with at least RM3 million in turnover has an interest in your business. LHDN aggregates all your businesses for the test. [e-Invoice General Guideline v4.8, §1.6.10; LHDN e-Invoice General FAQs, Q93]
When must a business started in 2023–2025 begin e-invoicing?
1 July 2026, if annual turnover or revenue reached RM3 million in YA2023, YA2024 or YA2025. If it stayed below RM3 million in those years, it is exempt until it reaches the threshold; reaching it in YA2026 or later means 1 January of the second year following. [e-Invoice General Guideline v4.8, §1.5]
Do small businesses below RM1 million (now RM3 million) still need to issue e-invoices for RM10,000+ transactions?
No. The RM10,000 individual e-invoice rule applies to taxpayers within the mandate; exempt businesses below RM3 million are not required to issue e-invoices, consolidated or otherwise. It applies from your first day once you are mandated. Our RM10,000 rule guide, linked above, covers the mandated-business rules. [e-Invoice General Guideline v4.8, §1.6.1(e); LHDN e-Invoice General FAQs, Q95]
Is the e-invoice exemption threshold RM150,000, RM500,000, RM1 million or RM3 million?
RM3 million, since 30 August 2026. The threshold was originally RM150,000, was raised to RM500,000, was revised to RM1 million in December 2025 (in force until 29 August 2026), and was raised to RM3 million by General Guideline v4.8. Any guidance quoting the three lower figures as current is out of date. [e-Invoice General Guideline v4.8, §1.6.1(e)]
Last updated: 30 August 2026 | Written by Yinn Sheng Ng, Head of Marketing
References
- LHDN e-Invoice Guideline (General), v4.8 (30 August 2026), sections 1.5, 1.6.1(e), 1.6.9 and 1.6.10: hasil.gov.my (official PDF)
- LHDN e-Invoice Specific Guideline, v4.8 (7 July 2026), Table 16.1 and Section 17: hasil.gov.my (official PDF)
- LHDN e-Invoice guidelines and FAQs landing page: hasil.gov.my
- Income Tax Act 1967 (Act 53), incl. sections 82(1)(b) and 82C: consolidated Act PDF (hasil.gov.my)
- MyInvois portal: myinvois.hasil.gov.my
- The Edge Malaysia, 30 July 2025, “PAC says RM150,000 e-invoicing threshold too low”: theedgemalaysia.com