e-Invoice in Malaysia is rolled out in phases based on annual turnover. The final phase takes effect on 1 July 2026, and it targets mainly two specific groups.

The first group are businesses under RM1 million turnover that do not qualify for the small business exemption. This includes companies with a corporate shareholder at RM1 million turnover or more, subsidiaries of a holding company already on e-Invoice, and companies with a related company or joint venture above RM1 million turnover.

The second group are businesses whose turnover was below RM1 million in 2022 but crossed RM1 million anytime in 2023, 2024, or 2025, including new businesses set up in that same period. For both groups, 1 July 2026 is the mandatory date, even if the business was exempt before.

Businesses starting from 2026 onwards differ. Non exempt businesses implement from 1 July 2026 or their start date, whichever is later. Exempt eligible businesses instead follow 1 January of the second year after crossing RM1 million, so a 2026 start crossing the threshold in its first year only needs to implement from 1 January 2028.

Turnover, shareholding, and start date all affect your correct implementation date. It is worth checking all three early.

Our CFO advisory team helps businesses confirm their e-Invoice implementation date and prepare accordingly. Reach us on WhatsApp at 010-246 2151.