E-Invoice Specific Guidelines: A Comprehensive Overview

1. INTRODUCTION
1.1 Inland Revenue Board of Malaysia (IRBM) has issued the e-Invoice Guideline on 21 July 2023.
1.2 The e-Invoice Guideline addresses the scope of implementation of e-Invoice, covering the concept of e-Invoice and step-by-step guidance on the e-Invoice workflow.
1.3 The IRBM has issued e-Invoice Specific Guideline in response to the need for further guidance on specific areas of e-Invoice, aiming to aid taxpayers in gaining a better understanding of certain e-Invoice treatment and ultimately, to successfully implement e-Invoice.
1.4 The appendices to this document form part and parcel of this e-Invoice Specific Guideline. The information provided in the appendices provide additional guidance to taxpayers on how to complete the requirements for issuance of e-Invoice as well as to enhance taxpayers’ understanding on e-Invoice implementation using general and industry-specific examples.
2. OBJECTIVE
This Specific Guideline is to provide further guidance on the issuance of e-Invoice relating to the following areas:
i. Transactions with Buyers
ii. Statements / Bills on a periodic basis
iii. Disbursement and reimbursement
iv. Employment perquisites and benefits
v. Certain expenses incurred by employee on behalf of the employer vi. Self-billed e-Invoice
vii. Transactions which involve payments (whether in monetary form or otherwise) to agents, dealers or distributors
viii. Cross-border transactions
ix. Profit distribution (e.g., dividend distribution) x. Foreign income
xi. Currency exchange rate
xii. E-commerce transactions
xiii. e-Invoice treatment during interim relaxation period
3. TRANSACTIONS WITH BUYERS
3.1 Currently, businesses (Suppliers) will issue a receipt / bill / invoice in hardcopy and/or softcopy (e.g., via e-mail) to customers (Buyers) to record a transaction (e.g., sale of products or provision of services to Buyers for personal consumption).
3.2 Upon implementation of e-Invoice, Suppliers are required to issue e-Invoice for all of its transactions. However, certain Buyers, particularly customers and certain businesses, may not require an e-Invoice as proof of expense.
3.3 To assist the Suppliers in complying with e-Invoice requirements and to reduce the burden to both Suppliers and Buyers, the IRBM allows the Suppliers to consolidate the transactions with Buyers (who do not require an e-Invoice) into a consolidated e-Invoice on a monthly basis.
3.4 Figure 3.1 provides an overview of invoicing process.

3.5 Scenario 1: Where the Buyer requires an e-Invoice
3.5.1 In relation to a particular transaction, Buyer that requires an e-Invoice would need to make a request by informing the Supplier accordingly.
3.5.2 Upon receiving the request from the Buyer for an e-Invoice, Supplier obtains the Buyer’s details (refer Table 3.1 of this e-Invoice Specific Guideline for further details) required for the issuance of e-Invoice.
3.5.3 In summary, the steps involved for issuance of an e-Invoice to Buyer are as follows:
Step 1: Supplier seek confirmation from Buyer if an e-Invoice is required.
Step 2: If the Buyer confirmed that he / she requires an e-Invoice, the Buyer is required to furnish the Supplier
with the required information to facilitate the issuance of
e-Invoice (refer Table 3.1 of this e-Invoice Specific
Guideline for further details).
Step 3: The Supplier is required to complete the remaining required fields as outlined in Appendices 1 and 2 of
e-Invoice Guideline and proceed to issue an e-Invoice.
The process of issuing an e-Invoice is similar to the
e-Invoice workflow as discussed in Section 2.3 (e-Invoice
model via MyInvois Portal) and Section 2.4 (e-Invoice
model via API) of the e-Invoice Guideline.
Step 4: The validated e-Invoice can be used as the Buyer’s proof of expense, to substantiate a particular transaction for tax purposes.
3.5.4 In facilitating a more efficient e-Invoice issuance process as well as to ease the burden of individuals in providing their Tax Identification Number (TIN) and identification number details, IRBM provides the following concession to individuals:
(a) For Malaysian individuals to provide either:
i. TIN;
ii. MyKad / MyTentera identification number; or
iii. Both TIN and MyKad / MyTentera identification number. (b) For non-Malaysian individuals to provide either: i. TIN; or
ii. Both TIN and passport number / MyPR / MyKAS identification number.
For clarity, (b)(i) refers to the TIN assigned by IRBM. In the event that the non-Malaysian individual does not have a TIN, Supplier may use the general TIN (as listed in Appendix 1 of this e-Invoice Specific Guideline), along with the passport number / MyPR / MyKAS identification number of the said individual.
3.5.5 In summary, the details to be provided by the individual Buyers for the issuance of e-Invoice are as follows:
No | Data field | Details to be included by Supplier in e-Invoice | Additional Remarks |
1 | Buyer’s Name | Name of individual Buyer | For Malaysian individuals: Full name as per MyKad / MyTentera For non-Malaysian individuals: Full name as per passport / MyPR / MyKAS |
2 | Buyer’s TIN | TIN of individual Buyer | For Malaysian individuals i. Option 1: TIN only ii. Option 2: MyKad / MyTentera identification number only iii. Option 3: Both TIN and MyKad / MyTentera identification number For non-Malaysian individuals i. Option 1: TIN only ii. Option 2: Both TIN and passport number / MyPR / MyKAS identification number For clarity, (i) refers to the TIN assigned by IRBM. In the event that the non-Malaysian individual does not have a TIN, Supplier may use the general TIN (as listed in Appendix 1 of this e-Invoice |
3 | Buyer’s Registration / Identification Number / Passport Number | Details of registration / identification number / passport number |
No | Data field | Details to be included by Supplier in e-Invoice | Additional Remarks |
Specific Guideline), along with the passport / MyPR / MyKAS identification number of the said individual. | |||
4 | Buyer’s Address | Address of individual Buyer | Individual Buyer is required to provide residential address |
5 | Buyer’s Contact Number | Telephone number of individual Buyer | Individual Buyer is required to provide a contact number |
6 | Buyer’s SST Registration Number | SST registration number of individual Buyer | Where applicable, individual Buyer to provide SST registration number If individual Buyer is not registered for SST, Supplier to input “NA” |
3.5.6 The details to be provided by the individual Shipping Recipient for the issuance of Annexure to the e-Invoice are as follows:
No | Data field | Details to be included by Supplier in Annexure to the e-Invoice | Additional Remarks |
1 | Shipping Recipient’s Name | Name of individual Shipping Recipient | For Malaysian individuals Full name as per MyKad / MyTentera For non-Malaysian individuals Full name as per passport / MyPR / MyKAS |
2 | Shipping Recipient’s Address | Address of individual Shipping Recipient | Individual Shipping Recipient is required to provide residential address |
3 | Shipping Recipient’s TIN | TIN of individual Shipping Recipienti. | For Malaysian individuals Option 1: TIN only ii. Option 2: MyKad / MyTentera identification number only iii. Option 3: Both TIN and MyKad / MyTentera identification number For non-Malaysian individuals Option 1: TIN only ii. Option 2: Both TIN and passport number / MyPR / MyKAS identification number For clarity, (i) refers to the TIN |
4 | Shipping Recipient’s Registration / Identification Number / Passport Number | Details of registration / i. identification number / passport number |
No | Data field | Details to be included by Supplier in Annexure to the e-Invoice | Additional Remarks |
assigned by IRBM. In the event that the non-Malaysian individual does not have a TIN, Supplier may use the general TIN (as listed in Appendix 1 of this e-Invoice Specific Guideline), along with the passport / MyPR / MyKAS identification number of the said individual. |
3.5.7 In the event the individual Buyer and/or individual Shipping Recipient (where applicable) provides either TIN or MyKad / MyTentera identification number (instead of both), the Supplier should input the following details for e-Invoice purposes:
No | Option | Data field | Details to be included by Supplier in e-Invoice |
1 | Option 1 (for Malaysian and non-Malaysian individuals), where the | Buyer’s / Shipping Recipient’s TIN | Supplier to input the TIN as provided by individual Buyer / individual Shipping Recipient |
No | Option | Data field | Details to be included by Supplier in e-Invoice |
individual Buyer / individual Shipping Recipient only provides TIN | Buyer’s / Shipping Recipient's Registration / Identification Number / Passport Number | Supplier to input “000000000000” in the e-Invoice | |
2 | Option 2 (for Malaysian individuals), where the individual Buyer / individual Shipping Recipient only provides MyKad / MyTentera identification number | Buyer’s / Shipping Recipient's TIN | Supplier to input “EI00000000010” in the e-Invoice |
Buyer’s / Shipping Recipient's Registration / Identification Number / Passport Number | Supplier to input MyKad/ MyTentera identification number provided by the individual Buyer / individual Shipping Recipient |
Table 3.3 – Details of TIN and identification number / passport number to be included by Supplier for issuance of e-Invoice to individual Buyer / individual Shipping Recipient
Example 1
Mr. Soo (Buyer) spent RM2,500 to buy a smartphone from Global Telco Sdn Bhd (Supplier) and has requested for an e-Invoice to be issued.
Global Telco Sdn Bhd has requested for Mr. Soo’s personal details to proceed with the issuance of e-Invoice. Mr. Soo has provided all the details required (including his MyKad identification number), except his TIN. Global Telco Sdn Bhd is still able to issue an e-Invoice to Mr. Soo despite Mr. Soo’s TIN has not been provided.
Upon receiving the validated e-Invoice, Mr. Soo will be able to use the validated e-Invoice as a proof of expense to substantiate for tax purposes.
Figure 3.2 illustrates an example of visual representation of validated e-Invoice issued by Global Telco Sdn Bhd to Mr. Soo.
