Prime Minister Datuk Seri Anwar Ibrahim today announced that the government is introducing an e-Invoicing Voluntary Disclosure Programme running until December 31, 2027.
Under the new program, the Inland Revenue Board of Malaysia (LHDNM) will not impose any penalties on taxpayers who voluntarily review, update, or correct mistakes and omissions in their digital invoice submissions during this period.
Speaking during Prime Minister’s Question Time in the Dewan Rakyat on July 7, 2026, Anwar, who also serves as Finance Minister, underscored the historic nature of the decision.
“During this period, any updates, reviews, and corrections submitted voluntarily will not be subject to penalties by LHDNM. This is a big decision because such an arrangement is not usually applied to income tax matters,” Anwar told parliamentarians.
The initiative acts as a comprehensive “amnesty” framework. It allows businesses to correct submitted or omitted e-invoice transactions stretching back to their respective mandatory implementation dates, up until the program wraps up at the end of 2027.
Recognizing the financial hurdles firms face when modernizing their accounting systems, the Prime Minister revealed an accelerated tax incentive structure to reward fully compliant corporate taxpayers:
- 100% Capital Allowance Within One Year: Businesses that fully adopt and comply with the e-invoicing architecture will be permitted to claim full capital allowance deductions within a single year on qualifying expenditure.
- Broad System Coverage: The fast-tracked deduction covers all financial investments in information and communications technology (ICT) hardware, server equipment, and custom computer software modifications deployed for e-invoicing.
