With the phased rollout of e-invoicing by the Inland Revenue Board of Malaysia (IRBM), all businesses have been transitioning to e-invoices to comply. The rollout starts with large companies and gradually moves to SMEs. If you’re unsure when your company should start, this article breaks down the official e-invoice implementation dates based on your annual turnover. Find out when your business is up for the task, what the grace period means and how to get ready.
When is the E-Invoicing Start Dates (Latest Updates December 2025)
If you’re curious about when your business needs to start using e-invoices, the IRBM recently announced changes to the e-invoicing timelines and exemptions, which impact small and medium-sized businesses.
Key E-Invoice Start Dates by Business Turnover:
| Annual Turnover (RM) | E-Invoicing Start Date | Grace Period | Remarks |
|---|---|---|---|
| Over 100 million | 1 August 2024 | 6 months | Phase 1 – no change |
| 25 million – 100 million | 1 January 2025 | 6 months | Phase 2 – no change |
| 5 million – 25 million | 1 July 2025 | 6 months | Phase 3 – maintained |
| 1 million – 5 million | 1 January 2026 | 1 Jan – 30 Jun 2026 | Updated timeline |
| 500k – 1 million | 1 July 2026 | 1 Jul – 31 Dec 2026 | Newly introduced implementation phase |
| Below 500k | No start date yet | — | Currently exempted from mandatory adoption |
The latest e-invoicing timeline was updated in response to increasing concern from the business community, particularly SMEs that may not have the readiness, funds, or expertise to transition in time.
“We will look into it because e-Invoicing is very important to prevent leakages and revenue loss. But for small companies, it can be quite burdensome.”
— Prime Minister Datuk Seri Anwar Ibrahim
With the final phase of e-invoicing starting July 2026, small and micro businesses now have extra time to prepare for the transition but should still avoid delaying until the last minute. It could take weeks to set up an e-invoicing software, train the staff, and connect different systems.
Once you know your mandatory start date, the next step is to understand how to submit an e-invoice through MyInvois. Learn how the e-invoicing process works.
What is the Grace Period for E-Invoicing?
For the first 6 months after the mandatory start date, businesses will be in a grace period. During this time, you will have the opportunity to send consolidated monthly e-invoices (especially for B2C and B2B transactions) in preparation for full compliance by the end of the grace period.
By adopting a relaxed approach, businesses have time to:
- Upgrade or adapt e-invoicing systems.
- Choose between using MyInvois Portal or API after trialling.
- Train finance and operations teams.
- Conduct internal testing and system integration.
How to Prepare Before Your E-Invoicing Start Date
Whether it’s your business’s turn soon or there is still a year until you have to comply, preparing early will allow for a smoother transition with minimal technical hiccups.
So what can you do to prepare for your e-invoicing start date?
- Identify your company’s implementation phase and mark the date.
- Understand the e-invoice process and requirements.
- Test out the e-invoice submission methods and decide on your preference (MyInvois vs API).
- Explore e-invoicing software options for your business size and operations.
- Speak with your accountant or tax agent about compliance expectations or exceptions.
Check Your E-Invoice Start Date and Plan Ahead
Knowing the e-invoice start date for your business is the first step to staying compliant. Whether your business needs to start this year or in 2026, it’s a good idea to prepare early. Set up the right system, train your team, and test your workflows.
Want more help? Read our Complete E-Invoicing Guide for SMEs for everything you need to know about staying compliant.
E-Invoicing Guides for Different Business Types
Explore how e-invoicing applies across different business sectors, with tailored examples and tips for your operations.
- Construction Industry
- E-Commerce Industry
- Healthcare Industry
- Tourism Industry
- Retail Industry
- F&B Industry
- Manufacturing Industry
- Wholesale Industry
- Professional Services & Agencies
- Used Car Dealers
- Car Workshops and Repair Services
FAQ: Malaysia E‑Invoicing Implementation Dates and Timeline
- It starts in phases from 1 August 2024.
- Larger companies start first, smaller ones later.
- Over RM100M turnover – 1 Aug 2024 (grace until 31 Jan 2025)
- RM25M – RM100M – 1 Jan 2025 (grace until 30 Jun 2025)
- RM5M – RM25M – 1 Jul 2025 (grace until 31 Dec 2025)
- RM1M – RM5M – 1 Jan 2026 (grace until 30 Jun 2026)
- RM500K – RM1M – 1 Jul 2026 (grace until 31 Dec 2026)
- Below RM500K – No fixed date yet
- Six months after your start date.
- You can still use simplified invoices during this time.
- Use the period to prepare and test your system.
- Yes.
- Any business can start before its official date.
- Early adoption can make the transition easier.
- Based on 2022 audited revenue or 2022 tax return.
- Later changes in revenue do not change your phase.
- Businesses with annual revenue below RM500,000.
- No start date yet for these businesses.
- Know your exact start and grace period dates.
- Choose how you will send e‑invoices (MyInvois portal or API).
- Test your invoicing software.
- Get advice from your accountant or tax adviser.
- Full compliance is required.
- All qualifying transactions need e‑invoices.
- No more consolidated invoices for transactions over RM10,000.
- Check the Inland Revenue Board of Malaysia (IRBM) website.
- Look for official guides specific to your industry.
