Malaysia’s e-Invoicing initiative, introduced by the Inland Revenue Board (LHDN), is a key step in the nation’s digital transformation. Designed to increase tax compliance and streamline business transactions, it aligns with global trends in electronic invoicing.
Key aspects of e-Invoicing in Malaysia include electronic generation, transmission, and receipt of invoices in a structured digital format, ensuring authenticity and integrity. This system replaces traditional paper or PDF invoices, reducing paperwork, data loss, and invoicing errors.
The Malaysian government has announced a phased rollout for e-Invoicing, starting on 1st August 2024 for taxpayers with an annual revenue exceeding RM100 million. By 1st January 2026, e-Invoicing will be mandatory for all taxpayers.
From a business perspective, e-Invoicing improves business efficiency by digitising invoicing processes, minimising errors, and enhancing transaction transparency, ultimately fostering trust between businesses and customers.
We at Kumo™ are always on the lookout for such initiatives by the government, ensuring that our subscribers and customers are always ready and kept abreast. We are excited to present our latest software upgrade, geared towards satisfying the evolving needs of the government towards the businesses we serve, including medical, beauty, wellness, traditional and complementary medicine (T&CM), and pet service industries. Kumo™ streamlines LHDN e-Invoicing integration, ensuring regulatory compliance and a simplified e-Invoicing process.
With Kumo™, businesses can now effortlessly generate and submit e-Invoices via automated e-Invoicing submission. This automation minimises administrative workload, reduces errors, and enhances operational efficiency, allowing healthcare professionals to focus on what they do best—delivering exceptional patient care.
e-Invoicing is a digital record of a transactional exchange between a seller (supplier) and a purchaser (buyer). An e-Invoice is submitted through the government portal for validation and record-keeping.
The detailed timeline for the implementation is as follows:
| Implementation Date | Targeted Taxpayers |
| 1 August 2024 | Taxpayers with annual revenue or turnover exceeding RM100 million |
| 1 January 2025 | Taxpayers with annual revenue or turnover exceeding RM25 million but not exceeding RM100 million |
| 1 July 2025 | Taxpayers with annual revenue or turnover exceeding 500K |
| 1 January 2026 | All taxpayers |
Yes, our system is fully integrated with LHDN e-Invoicing and is ready for use.
The e-Invoicing feature is priced at RM 500 per year and per outlet, with unlimited e-Invoice submissions to the MyInvois Portal.
For submission to LHDN, the following information must be entered accurately:
Additionally, Kumo™ integrates with LHDN’s TIN search function, allowing the system to automatically retrieve the TIN when the client’s NRIC is entered. This streamlines the data entry process and ensures accuracy.
Each e-Invoice generated in Kumo™ is automatically submitted to LHDN without requiring a request from the buyer, ensuring compliance and efficiency.
Kumo™ will submit all invoices generated within the system to LHDN, including backdated and voided sales invoices.
Yes, patients/customers can access their e-Invoices from previous months via the MyInvois portal.
The e-Invoice is issued based on the payment collected during each transaction. If partial payments were made, the e-Invoice will reflect the amount collected at that time.
For voiding sales or other changes, you can follow the standard void sales procedure. Once the cancellation or adjustment is made, the system will automatically revoke the e-Invoice and update the records.
For paediatric patients, the e-Invoice will be issued under the parent’s name. While the registration may be under the child's name, it will be registered under the parent’s Tax Identification Number (TIN), and the e-Invoice will reflect the parent’s details for billing purposes.
Yes, e-Invoice transactions are applicable to panel patients.
There are four statuses displayed in the e-Invoice, each representing a specific stage in the process:
| STATUS | VALUE | NOTE |
| Submitted | 1 | This means the invoice has passed initial structure but is still pending additional validations to be completed |
| Valid | 2 | The status of a successful invoice validation |
| Invalid | 3 | The status of a submitted invoice with validation issues |
| Cancelled | 4 | The status of an invoice cancelled by the issuer |
Taxpayers may continue submitting documents using version 1.0 without digital signature validation until the LHDN officially discontinues its use. Any future updates on this requirement, including the need for clients to purchase Digital Certificates, will be updated accordingly.
No, the Kumo™ system does not support self-billed e-Invoices.
The Kumo™ system does not support consolidated e-Invoices. Each e-Invoice generated in our system is submitted to LHDN for validation.
Every invoice generated in our system is automatically submitted to LHDN.
B. Malaysia