The Inland Revenue Board of Malaysia (IRB) has introduced a Special Voluntary Disclosure Programme (PKPS) for e-Invoicing, allowing taxpayers to voluntarily rectify non-compliance without incurring penalties until December 31, 2027.
The initiative follows the announcement by Prime Minister and Finance Minister Anwar Ibrahim in Parliament on Tuesday as part of additional measures aimed at easing compliance costs, particularly for micro, small and medium enterprises (MSMEs).
Under the programme, eligible taxpayers include those who have implemented e-Invoicing according to the prescribed timeline but failed to issue e-Invoices for certain transactions, submitted e-Invoices containing errors or information that does not comply with technical specifications, or did not issue e-Invoices for any period after the mandatory implementation date.
The IRB said taxpayers participating in the programme must ensure all voluntary disclosures are accurate and comply with the General and Specific e-Invoice Guidelines.
The tax authority said the initiative is intended to encourage businesses to voluntarily update, review and correct their e-Invoice records while supporting the government’s broader digitalisation agenda. Eligible taxpayers will not face penalties for disclosures made under the programme during the implementation period.
In addition to the compliance relief, the government has introduced an incentive for businesses that fully comply with e-Invoicing requirements.
Taxpayers will be allowed to claim full capital allowances within one year for expenditure incurred on acquiring information and communications technology (ICT) equipment as well as costs related to developing or modifying computer software used for e-Invoicing implementation.
