Introduction
On 8 December 2025, the Inland Revenue Board of Malaysia (IRBM) released updated guidelines for e-Invoice implementation. These changes affect all taxpayers conducting business in Malaysia, including new companies, existing enterprises, and sole proprietors. With the government raising the annual revenue threshold from RM500,000 to RM1 million, businesses now have clearer timelines and exemption criteria to follow.
Key regulatory updates
Threshold increase
Requirement: Businesses with annual revenue of RM1 million or more must adopt e-Invoicing.
Implementation timeline
- 1 January 2026: Final main batch for companies with revenue ≥ RM1M.
- 1 July 2026 onwards: Only exceptional cases apply.
Exemption criteria
Businesses may be exempt if they meet all conditions:
- Annual revenue below RM1M
- No corporate shareholders
- Not a subsidiary, associated, or joint-venture company
Revenue determination
- With audited accounts: Use audited income statement.
- Without audited accounts: Use declared tax return.
- Sole proprietors: Use consolidated revenue across all enterprises under their name.
Why early adoption matters
Direct answer: Delaying compliance risks penalties and operational disruption. Companies that prepare now will benefit from smoother transitions, reduced administrative burden, and stronger credibility with stakeholders.
SQL Account: Your trusted e-Invoice partner
SQL Account’s e-Invoice system is purpose-built to align with Malaysia’s evolving compliance landscape.
| Feature | Benefit to business |
|---|---|
| Full IRBM Compliance | Ensures seamless adherence to Malaysia’s e-Invoice framework |
| Automation | Eliminates manual invoicing, saving time and reducing errors |
| Integration | Works across sales, purchases, and inventory modules |
| Scalability | Suitable for SMEs and large enterprises |
| User-Friendly Interface | Simplifies adoption for finance teams |
Marketing angle: More than compliance
- Efficiency gains: Automate invoicing and free up resources for growth.
- Accuracy & transparency: Reduce errors and strengthen audit readiness.
- Future-proofing: Stay ahead of regulatory changes and digital transformation.
- Trusted nationwide: SQL Account trusted by more than 320,000 businesses.
Conclusion & call to action
With Malaysia’s e-Invoice threshold now set at RM1 million, businesses must act quickly to ensure compliance by January 2026. SQL Account’s e-Invoice system offers a reliable, scalable, and future-ready solution to help companies transition smoothly.
Don’t wait until the deadline—start your e-Invoice journey today with SQL Account and position your business for compliance, efficiency, and growth.
Malaysia