ALOR STAR: The Inland Revenue Board (IRB) is confident of achieving full e-Invoice registration in Kedah ahead of the system’s mandatory implementation on Jan 1 next year.
State IRB director Nor Azam Mohamad said the agency had recorded steady progress in recent months, with growing awareness among business operators contributing to the momentum.
“If we look at the figures nationwide, there has been a marked improvement across each phase of implementation. The awareness is there and it is now about achieving full adoption,” he told reporters today.
Earlier, he attended the state-level e-Invoice Mega Tour event in Wisma Hasil, Anak Bukit.
Nor Azam said 23,712 companies in Kedah were required to register for the e-Invoice system and expressed confidence that full registration could be achieved through continuous outreach.
“We are optimistic that the registration rate will continue to rise through briefings, educational campaigns and various outreach initiatives targeting employers and taxpayers,” he said.
He added that today’s event will involve 40 IRB personnel assisting over 200 taxpayers, with a focus on the Alor Star and Jitra areas.
As part of the outreach, Nor Azam said the IRB was providing basic training and simulation sessions to help businesses better understand the system.
“Some employers or companies have also requested that we visit their premises to conduct closer, hands-on guidance for their staff managing invoices,” he said.
He added that from 2024 to March 2025, the IRB conducted 11 online briefings and 20 in-person sessions in the state, reaching 784 online participants and 1,694 in-person attendees.
Nor Azam urged all eligible taxpayers to embrace the transition, stressing that the system would streamline tax reporting and strengthen documentation practices.
“My message and hope are that with the implementation of e-Invoicing, we are not just complying with a new system, but more importantly, we are helping businesses and taxpayers. With e-Invoicing, tax reporting becomes easier as every transaction is supported with complete documentation,” he said.
He also reminded businesses that beginning Jan 1, 2026, e-Invoicing would become mandatory, with the IRB shifting its focus towards full enforcement and monitoring, not punitive measures.
“After that, enforcement will be carried out comprehensively, not to punish, but to ensure compliance and smooth implementation,” he said.
In February, the government deferred the third phase of e-Invoicing for MSMEs with annual sales between RM150,000 and RM500,000 to Jan 1 next year. (hyperlink:https://www.google.com/amp/s/www.nst.com.my/amp/business/corporate/2025/02/1178611/govt-delays-third-phase-e-invoicing)
The system was first introduced on Aug 1, 2024, for companies with sales above RM100 million, followed by phase two on Jan 1, 2025, for those between RM25 million and RM100 million.
Businesses with annual sales below RM150,000 are exempted. Finance Minister II Datuk Seri Amir Hamzah Azizan said this would benefit over 700,000 small traders.
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