iDCP e-Invoice Software System

E-invoicing is being rolled out in phases and is now compulsory for a significant segment of businesses.

By July 2025, companies with annual revenue exceeding RM25 million are already required to issue e-invoices for B2B, B2G, and B2C transactions.

Beginning 1 July 2025, the mandate will expand to include businesses whose annual turnover exceeds RM5 million.

The rollout will proceed in stages until it covers all companies, with the exception of those whose annual turnover is under RM1 million. (Updated 7 December 2025)

iDCP automates the entire e-invoicing process:

• Integration: Connects to your ERP or business systems.
• Data Capture: Extracts invoice information.
• Formatting: Converts data into UBL 2.1 (XML/JSON).
• Validation: Submits for real-time verification with IRBM’s MyInvois system.
• UIN & QR Code: Receives and attaches the Unique Identification Number and QR code.
• Delivery & Storage: Sends e-invoices to buyers and archives them for compliance.

There are two ways to submit e-Invoices:

MyInvois Portal – Manual entry or bulk spreadsheet upload, ideal for MSMEs or low-volume transactions.

API Integration – Direct ERP or accounting system connection for real-time, automated submissions, supported by LHDN’s SDK.

E-invoicing helps businesses streamline operations and maintain compliance:

• Streamlined Operations: Automates invoicing, reducing manual errors.
• Faster Payments: Improves cash flow and minimizes billing disputes.
• Better Tax Compliance: Simplifies and ensures accurate reporting.
• Lower Costs: Cuts paper and administrative expenses.
• Supports Global Trade: Facilitates cross-border transactions.

To begin with e-Invoicing in Malaysia, start by assessing your company’s readiness. Identify whether e-Invoicing is mandatory or voluntary for your business. Review your ERP or accounting system for compatibility and integration capability. Lastly, ensure employees are properly trained to manage e-Invoicing processes efficiently.

iDCP provides a comprehensive, MDEC-accredited e-invoicing solution designed for Malaysian businesses:

• Seamless Integration: Connects easily with ERPs and business systems.
• Multi-Channel Support: Consolidates B2B and B2C sales into compliant e-invoices.
• Client Portal: Enables buyers to generate e-invoices independently via web or mobile.
• Real-Time Validation: Ensures compliance with IRBM’s MyInvois system.

An e-Invoice (electronic invoice) is a digital document that records transaction details between a seller and buyer. Unlike traditional paper invoices, it is created, validated, and stored electronically through the LHDN MyInvois system.

Example: When a wholesaler sells goods to a retailer, they generate an e-Invoice through their ERP/accounting system, which is submitted to LHDN for validation before being shared with the buyer.

A credit note is issued to correct a previously issued e-Invoice, typically to reduce the original invoice value without refunding the buyer. It is commonly used for errors, discounts, or returned items.

Example: A retailer returns 20 defective shoes from an order of 200 pairs. The supplier issues a credit note to reduce the invoice value accordingly.

A debit note is issued to record additional charges or costs related to a previously issued e-Invoice.

Example: A supplier realizes delivery charges were omitted from the original invoice and issues a debit note to add the extra cost.

A refund note (refund e-Invoice) is issued to record a refund given to the buyer.

Example: A buyer cancels an order and requests a refund. The seller issues a refund note to document the repayment.

Remark: According to LHDN rules and regulations, e-Invoice cancellations must be completed within 72 hours of issuance.

A self-billed e-Invoice is created by the buyer instead of the seller, typically for transactions involving unregistered suppliers or cross-border dealings.

Example: A Malaysian retailer purchases raw materials from a foreign supplier not registered with LHDN. The retailer issues a self-billed e-Invoice to record the transaction.