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 BERAK: E-invoice batal for <1mil

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vhs
post Dec 6 2025, 08:17 PM

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QUOTE(Medusakia @ Dec 6 2025, 06:15 PM)
The government has decided to exempt businesses with annual revenue under RM1 million from e-invoicing, which comes into effect on Jan 1.

Prime Minister Anwar Ibrahim said this was decided by the Cabinet yesterday.

“The initial threshold of RM500,000 (for mandatory e-invoicing) has been raised to RM1 million. This means that small companies no longer need to carry out e-invoicing,” Anwar, who is also the finance minister, said at an event in Kota Kinabalu, Sabah, today.

In June, the Inland Revenue Board (LHDN) had said the finance ministry had decided that the implementation of e-invoicing for companies earning between RM1 million and RM5 million will be deferred to Jan 1, 2026 from the previous July 1, 2025.

Implementation for companies with annual revenue of up to RM1 million, now scrapped, was to have been deferred to July 1, 2026.

DAP adviser and former finance minister Lim Guan Eng had said the dismal performance of Pakatan Harapan in the Nov 29 Sabah state election could be attributed to Chinese voters’ rejection of specific policies such as expansion of the sales and service tax (SST), the e-invoicing rollout, as well as delayed tax refunds.

Separately, Anwar said that beginning Jan 1, the progress rate of all water supply, electricity and road projects in Sabah will be monitored on a monthly basis to prevent delays.
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Shitty reporting. Implementation date for annual revenue under RM1 million was to be effective from July 1 2026, not Jan 1. There is no news that the Jan 1 2026 deadline is being changed for those between 1 million to 5 million. This kind of news is going to make lots of people confused again. laugh.gif
vhs
post Dec 6 2025, 08:39 PM

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QUOTE(Schumacher @ Dec 6 2025, 08:25 PM)
Nah, it’s already scrapped. The reporter just confused people. Initially, they deferred businesses below RM1 mil to 1 July 2026. Starting 1 Jan only those earning RM1 million and above need to issue e-invoices. Most food business owners make below RM1 million, so they wouldn’t dare disturb this voter base.
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Thats why this statement was wrong lor:

"The government has decided to exempt businesses with annual revenue under RM1 million from e-invoicing, which comes into effect on Jan 1."
vhs
post Dec 6 2025, 08:48 PM

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QUOTE(Schumacher @ Dec 6 2025, 08:45 PM)
https://www.hasil.gov.my/media/fzagbaj2/irb...e-guideline.pdf

Even reporters reading this wouldn’t understand, it’s like taking an exam just to get through it. Silly AI made things so troublesome.
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Not to mentioned the rules kept being tweaked since day 1 until now. More rules added as time goes on. Once you are in it, you have to keep on dealing with new changes. LHDN will keep on telling you new deadlines for this rule and that rule. That's why I can pity those small companies which have limited resources. whistling.gif
vhs
post Dec 6 2025, 09:28 PM

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QUOTE(twosocks @ Dec 6 2025, 08:28 PM)
why not?

too many running away without paying taxes and leeching off benefits.

I personally feel that government should bring back GST after the next election
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As if any political party will dare to announce they are planning to cancel e-invoice in their political campaign. I doubt it. It will be here forever. Otherwise EU and other western countries gonna keep pestering you that you are not in line with their modern practices.


This post has been edited by vhs: Dec 6 2025, 09:29 PM
vhs
post Dec 6 2025, 10:13 PM

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QUOTE(M2020 @ Dec 6 2025, 10:10 PM)
When want to upgrade to 2 million? After next erection?
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Jan 2026 is the deadline for all companies with >1 million. Once they start to implement, no point to remove already.

vhs
post Dec 7 2025, 12:58 AM

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QUOTE(M2020 @ Dec 6 2025, 10:17 PM)
I see, meaning after 10 years must remain the same or Govt can adjust?
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10 years too long, anything can happen. Maybe k will become a very quiet place before that tongue.gif
vhs
post Dec 7 2025, 05:10 AM

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QUOTE(trusol @ Dec 7 2025, 03:25 AM)
Most businesses don't need refunds because the GST that the suppliers charged (input tax) is deducted from GST that are charge to customers (output tax). You will only need refunds if your business is very lousy. such as sales very bad and you have over-ordered too much slow-moving stocks. Or if you only deal with products that are zero-rated. Zero-rating too many products was Najib's biggest mistake. It was supposed to show how caring the gov was, but it became a refund nightmare. We should have followed Singapore's GST - no zero rated items.
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That's simplification of all possible scenarions. Business will try to optimize the cost saving by purchasing more when there is an advantages, such as the raw materials are cheaper, forex is strong etc etc, and then expects the produced goods to be sold over a longer period. Only those perishable and food related business have short time window to convert input goods into output goods. Not every business behave that way. Many businesses can hold stocks for several months before order again.

This post has been edited by vhs: Dec 7 2025, 05:11 AM
vhs
post Dec 7 2025, 11:15 AM

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Starting 1 Jan 2026, there is this new rule on e-invoice that if anyone wants to make a purchase worth more than RM10K, the company must produce a single e-invoice on this customer. And to produce a single e-invoice, it will be necessary to obtain customer information such as IC and contact number. The business cannot simply enter any "dummy" IC number as a workaround because LHDN will check for its validity and reject the invoice. So what this means is, for those retailing companies, when a customer happens to make a purchase worth of > 10K in value, the companies will have to ask the customer to show the IC number and provide a contact number to be recorded for e-invoice submission purpose.

It sounds good on paper, allowing LHDN to have better idea of who is spending relatively large sum of money.

But it is always possible that some customers will be surprised or offended by such requirements, and make a fuss on the spot. What do you think the company will do? Reject the customer purchase on the spot? Just think about it. I will let you think this through yourself.

As for those people who wonders how foreigners are able to provide IC, the answer is already in the guidelines. For those people who are not aware of the solution, it just means that there are many rules you have to remember and many people find it difficult to understand and remember all of them.


https://www.pwc.com/my/en/assets/publicatio...vy-issue-15.pdf


This post has been edited by vhs: Dec 7 2025, 11:20 AM
vhs
post Dec 7 2025, 11:16 AM

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QUOTE(Dyson Jin @ Dec 7 2025, 11:11 AM)
not to forget this e invoice make employee want claim banyak susah
telco bill,entertainment claim,food claim
all mau e invoice
sometime register dy,email tak sampai sampai..aduihai

bring back GST!
folo singki!
Sinki is top country in the world!
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Already said many times even if bring back GST is successful, that does not mean e-invoice will go away. You think those other political parties are going to remove e-invoice? No one has dare to say a thing and that shows you what the outcome is. whistling.gif
vhs
post Dec 9 2025, 12:31 PM

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QUOTE(fongsk @ Dec 9 2025, 09:43 AM)
Well, the intention of e-invoice is to monitor your spendings vs your LHDN, assuming you have one.  It does not contribute directly to our gov coffers  as no monetary is involved that flows directly to the gov coffers, unlike GST where u spend u pay tax. 
If you pay your taxes diligently, then e-invoice does not affect you as a consumer or business owners.  If you don’t pay taxes as per regulations, the e-invoice is one of the mechanism to detect that.  That’s why Gov targeted those at >150k income cos these are those that likely do not pay taxes or under declare.  They can track your expenses vs your declaration.  If you live beyond your means of taxation, then LHDN can come and pay you a visit.  So with e-invoice, you are still paying the same amount of taxes unless u evade taxes.
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Actually the only reason is because the west wants to do it, so everyone else must follow.

Try not doing it and see what happens in the future. Only USA can act different. The rest gonna get a low score from the west rating agency for being outdated. Ready for a rating downgrade? tongue.gif


The world:
1. European Union – ViDA and Country-Specific Mandates
2. United States – Voluntary Adoption on the Rise
3. Latin America – A Pioneer in E-Invoicing
4. Asia-Pacific – Rapid Expansion of E-Invoicing
5. Middle East & Africa – Steady Progress in Compliance

You want to escape then go to Antarctica


This post has been edited by vhs: Dec 9 2025, 12:36 PM
vhs
post Dec 9 2025, 01:43 PM

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QUOTE(fongsk @ Dec 9 2025, 12:57 PM)
I think our ratings was downgraded long time ago.  But GST really helps because the % of tax paying citizens are too small to cover gov expenditures.  We need more citizens and visitors to pay taxes, hence GST.
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Cancel e-invoice will just downgrade it further lol

 

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