{"id":12490,"date":"2024-07-27T15:10:25","date_gmt":"2024-07-27T07:10:25","guid":{"rendered":"https:\/\/link4.asia\/my\/?p=12490"},"modified":"2025-03-21T08:38:21","modified_gmt":"2025-03-21T00:38:21","slug":"lhdn-malaysia-grants-6-month-grace-period-for-mandatory-e-invoicing-adaptation","status":"publish","type":"post","link":"https:\/\/link4.asia\/my\/news\/lhdn-malaysia-grants-6-month-grace-period-for-mandatory-e-invoicing-adaptation\/","title":{"rendered":"LHDN Malaysia grants 6-month grace period for mandatory e-Invoicing adaptation"},"content":{"rendered":"\n<div style=\"height:23px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<figure class=\"wp-block-image size-large\"><img fetchpriority=\"high\" decoding=\"async\" width=\"1024\" height=\"575\" src=\"https:\/\/link4.asia\/my\/wp-content\/uploads\/sites\/2\/2024\/07\/blogsaturda-1024x575.png\" alt=\" LHDN Malaysia grants 6-month grace period for mandatory e-Invoicing adaptation\" class=\"wp-image-12492\" srcset=\"https:\/\/link4.asia\/my\/wp-content\/uploads\/sites\/2\/2024\/07\/blogsaturda-1024x575.png 1024w, https:\/\/link4.asia\/my\/wp-content\/uploads\/sites\/2\/2024\/07\/blogsaturda-300x169.png 300w, https:\/\/link4.asia\/my\/wp-content\/uploads\/sites\/2\/2024\/07\/blogsaturda-768x431.png 768w, https:\/\/link4.asia\/my\/wp-content\/uploads\/sites\/2\/2024\/07\/blogsaturda.png 1353w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<div style=\"height:26px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p>The Inland Revenue Board (LHDN) announced on Friday a six-month grace period for taxpayers transitioning to the mandatory e-Invoicing system, effective August 1, 2024. This measure aims to facilitate a smoother shift, allowing businesses to issue consolidated e-Invoices for all transactions during this period.<\/p>\n\n\n\n<h5 class=\"wp-block-heading\"><strong>During this time, taxpayers will have the following flexibility:<\/strong><\/h5>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Taxpayers can issue consolidated e-Invoices for all transactions, including self-billing e-Invoices.<\/li>\n\n\n\n<li>Any transaction description can be entered in the &#8220;Product or Service Description&#8221; field.<\/li>\n\n\n\n<li>If a buyer requests an e-Invoice, the seller can issue a consolidated e-Invoice instead of separate ones for each transaction.<\/li>\n\n\n\n<li>Businesses will not be penalized <a href=\"https:\/\/www.hasil.gov.my\/media\/0xqitc2t\/lhdnm-e-invoice-general-faqs.pdf\">under section 120 of the Income Tax Act 1967<\/a> for not following e-Invoicing rules, as long as they use consolidated e-Invoices during this period.<\/li>\n<\/ul>\n\n\n\n<p>This announcement comes as part of a broader focus on improving compliance and oversight In the first half of 2024 alone, the LHDN imposed <a href=\"https:\/\/www.thestar.com.my\/news\/nation\/2024\/07\/22\/rm37bil-added-taxes-and-penalties-imposed-for-non-compliance-in-1h2024-says-lhdn-chief\">RM3.7 billion<\/a> in additional taxes and penalties for non-compliance, underscoring the government&#8217;s commitment to tightening tax regulations and ensuring compliance across all sectors.<\/p>\n\n\n\n<p>The new grace period will provide companies with the additional time needed to implement the necessary systems and processes for e-Invoicing compliance, <\/p>\n\n\n\n<div style=\"height:31px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>LHDN Chief Executive Officer Datuk Dr Abu Tariq Jamaluddin stated. <a href=\"https:\/\/www.thestar.com.my\/news\/nation\/2024\/07\/26\/govt-announces-6-month-grace-period-for-electronic-invoicing-implementation\">\u201cThis flexibility extends across all industries and activities, enabling the issuance of consolidated e-Invoices, including self-billed e-Invoices. Transaction details can be specified in the \u2018Product or Service Description\u2019 field. Should a buyer request an e-Invoice, sellers may issue a consolidated e-Invoice rather than separate invoices for each transaction,\u201d<\/a> he elaborated.<\/p>\n<\/blockquote>\n\n\n\n<div style=\"height:31px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p>Abu Tariq further highlighted significant progress in 2023, with the LHDN achieving a record tax collection of <a href=\"https:\/\/www.thestar.com.my\/news\/nation\/2024\/07\/22\/rm37bil-added-taxes-and-penalties-imposed-for-non-compliance-in-1h2024-says-lhdn-chief\">RM183.3 billion, a 4.49% increase from RM175 billion in 2022<\/a>.<\/p>\n\n\n\n<p>For 2024, the LHDN has set an ambitious target of <a href=\"https:\/\/theedgemalaysia.com\/node\/720588\">RM197 billion<\/a>. A key focus to achieve this target will be addressing tax leakage issues, including discrepancies between individuals\u2019 assets and their tax declarations, as well as unreported income from Malaysia held in overseas accounts.<\/p>\n\n\n\n<p>In line with this, the introduction of e-Invoicing is seen as a strategic move to enhance transparency and efficiency in tax administration. By digitizing invoicing processes, the LHDN aims to reduce opportunities for tax evasion and improve the accuracy of tax reporting. Businesses are encouraged to begin preparations immediately to ensure a seamless transition.<\/p>\n\n\n\n<p>The LHDN has assured that it will provide the necessary support and resources to assist taxpayers in adapting to the new system.<\/p>\n\n\n\n<p>Abu Tariq mentioned that the government has enhanced <a href=\"https:\/\/www.freemalaysiatoday.com\/category\/nation\/2024\/07\/26\/lhdn-grants-six-month-concession-on-e-invoices\/\"><\/a><a href=\"https:\/\/www.msn.com\/en-my\/news\/national\/lhdn-grants-6-month-concession-on-e-invoices\/ar-BB1qGekl?ocid=weather-verthp-feeds\">tax incentives<\/a> for companies that successfully adopt the e-Invoicing system. These incentives include reducing the capital allowance claim period from four years to three for ICT equipment and computer software packages purchased in the assessment years 2024 and 2025.<\/p>\n\n\n\n<p>The phased implementation of e-Invoicing represents a significant step towards modernizing Malaysia&#8217;s tax infrastructure, aligning it with global best practices. As businesses adapt to these changes, the LHDN&#8217;s emphasis on compliance and enforcement will be crucial in achieving the desired outcomes of increased tax revenue and enhanced economic transparency.<\/p>\n\n\n\n<p>To learn more about implementing compliant e-Invoicing systems and reaping the business benefits, book a discussion with us today: <a href=\"https:\/\/link4.asia\/my\/\">https:\/\/link4.asia\/my\/<\/a><\/p>\n\n\n\n<div style=\"height:23px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h5 class=\"wp-block-heading\">Media Contact LinkFor:<\/h5>\n\n\n\n<p>Kasun Illankoon \u2013 PR Specialist<br>kithzk@link4.co<\/p>\n\n\n\n<div style=\"height:23px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h4 class=\"wp-block-heading\">Send us a Message<\/h4>\n\n\n\n<p>Feel free to ask us any questions you may have or simply send us a message.<\/p>\n\n\n<div class=\"custom-styling\">\n   \n<div class=\"wpcf7 no-js\" id=\"wpcf7-f12029-o1\" lang=\"en-US\" dir=\"ltr\" data-wpcf7-id=\"12029\">\n<div class=\"screen-reader-response\"><p role=\"status\" aria-live=\"polite\" aria-atomic=\"true\"><\/p> <ul><\/ul><\/div>\n<form action=\"\/my\/wp-json\/wp\/v2\/posts\/12490#wpcf7-f12029-o1\" method=\"post\" class=\"wpcf7-form init\" aria-label=\"Contact form\" novalidate=\"novalidate\" data-status=\"init\">\n<fieldset class=\"hidden-fields-container\"><input type=\"hidden\" name=\"_wpcf7\" value=\"12029\" \/><input type=\"hidden\" name=\"_wpcf7_version\" value=\"6.1.5\" \/><input type=\"hidden\" name=\"_wpcf7_locale\" value=\"en_US\" \/><input type=\"hidden\" name=\"_wpcf7_unit_tag\" value=\"wpcf7-f12029-o1\" \/><input type=\"hidden\" name=\"_wpcf7_container_post\" value=\"0\" \/><input type=\"hidden\" name=\"_wpcf7_posted_data_hash\" value=\"\" \/><input type=\"hidden\" name=\"_wpcf7_recaptcha_response\" value=\"\" \/>\n<\/fieldset>\n<div class=\"pix-contact7-form\"><div class=\"row\">\n\t<div class=\"col-lg-6\">\n\t\t<p><label class=\"w-100\">Full Name*<br \/>\n<span class=\"wpcf7-form-control-wrap\" data-name=\"your-name\"><input size=\"40\" maxlength=\"400\" class=\"wpcf7-form-control wpcf7-text wpcf7-validates-as-required pix-my-5 shadow-0 bg-gray-1 form-control\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"John Doe\" value=\"\" type=\"text\" name=\"your-name\" \/><\/span><\/label>\n\t\t<\/p>\n\t<\/div>\n\t<div class=\"col-lg-6\">\n\t\t<p><label class=\"w-100\">Email Address*<br \/>\n<span class=\"wpcf7-form-control-wrap\" data-name=\"your-email\"><input size=\"40\" maxlength=\"400\" class=\"wpcf7-form-control wpcf7-email wpcf7-validates-as-required wpcf7-text wpcf7-validates-as-email pix-my-5 shadow-0 bg-gray-1 form-control\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"email@gmail.com\" value=\"\" type=\"email\" name=\"your-email\" \/><\/span><\/label>\n\t\t<\/p>\n\t<\/div>\n\t<div class=\"col-lg-6\">\n\t\t<p><label class=\"w-100\">Phone Number<br \/>\n<span class=\"wpcf7-form-control-wrap\" data-name=\"phonetext-274\"><input size=\"40\" class=\"wpcf7-form-control wpcf7-phonetext wpcf7-text wpcf7-validates-as-phonetext shadow-0 bg-gray-1 form-control\" aria-invalid=\"false\" placeholder=\"Choose Country\" value=\"\" type=\"text\" name=\"phonetext-274\" \/><input type=\"hidden\" name=\"phonetext-274-country-code\" class=\"wpcf7-phonetext-country-code\" \/><\/span><\/label>\n\t\t<\/p>\n\t<\/div>\n\t<div class=\"col-6\">\n\t\t<p><label class=\"w-100\">Organisation Name*<br \/>\n<span class=\"wpcf7-form-control-wrap\" data-name=\"your-subject\"><input size=\"40\" maxlength=\"400\" class=\"wpcf7-form-control wpcf7-text wpcf7-validates-as-required pix-my-5 shadow-0 bg-gray-1 form-control\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"Place of work\" value=\"\" type=\"text\" name=\"your-subject\" \/><\/span><\/label>\n\t\t<\/p>\n\t<\/div>\n\t<div class=\"col-12\">\n\t\t<p><label class=\"w-100\">Write your message below*<br \/>\n<span class=\"wpcf7-form-control-wrap\" data-name=\"your-message\"><textarea cols=\"40\" rows=\"4\" maxlength=\"2000\" class=\"wpcf7-form-control wpcf7-textarea wpcf7-validates-as-required pix-my-5 shadow-0 bg-gray-1 form-control\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"Your Message\" name=\"your-message\"><\/textarea><\/span><\/label>\n\t\t<\/p>\n\t<\/div>\n<\/div>\n\n<p><input class=\"wpcf7-form-control wpcf7-submit has-spinner btn text-white w-100 pix-mt-10 font-weight-bold btn-lg shadow-hover\" type=\"submit\" value=\"Submit Form\" \/>\n<\/p><\/div><p style=\"display: none !important;\" class=\"akismet-fields-container\" data-prefix=\"_wpcf7_ak_\"><label>&#916;<textarea name=\"_wpcf7_ak_hp_textarea\" cols=\"45\" rows=\"8\" maxlength=\"100\"><\/textarea><\/label><input type=\"hidden\" id=\"ak_js_1\" name=\"_wpcf7_ak_js\" value=\"230\"\/><script>document.getElementById( \"ak_js_1\" ).setAttribute( \"value\", ( new Date() ).getTime() );<\/script><\/p><div class=\"wpcf7-response-output\" aria-hidden=\"true\"><\/div>\n<\/form>\n<\/div>\n\n<\/div>\n<style>\n.custom-styling\n{\n   background: #D3D3D3;\npadding: 15px;\nborder-radius: 10px;\n }<\/p>\n<\/style>\n\n\n\n<div style=\"height:23px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p><em>Footnote: In this article,  \u201ce-invoicing\u201d is used interchangeably to refer to electronic invoicing<\/em>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Inland Revenue Board (LHDN) announced on Friday a six-month grace period for taxpayers transitioning to the mandatory e-Invoicing system, effective August 1, 2024. This measure aims to facilitate a smoother shift, allowing businesses to issue consolidated e-Invoices for all&#8230;<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[146],"tags":[],"class_list":["post-12490","post","type-post","status-publish","format-standard","hentry","category-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.9 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>LHDN Malaysia grants 6-month grace period for mandatory e-Invoicing adaptation - Link4 E-invoicing - Malaysia<\/title>\n<meta name=\"description\" content=\"The Inland Revenue Board (LHDN) announced on Friday a six-month grace period for taxpayers transitioning to the mandatory e-Invoicing system, effective\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/link4.asia\/my\/news\/lhdn-malaysia-grants-6-month-grace-period-for-mandatory-e-invoicing-adaptation\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"LHDN Malaysia grants 6-month grace period for mandatory e-Invoicing adaptation - 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