Recently, Yonyou Malaysia had the honor of sponsoring and participating in the National e-Invoicing Initiative & Income Tax Requirements – Impact on Businesses, hosted by the Malaysian Institute of Accountants (MIA).
The primary objective of this event was to propel interoperable E-Invoicing by digitizing the delivery of invoices between businesses, facilitating seamless communication among different accounting software and Enterprise Resource Planning (ERP) systems in a system-to-system manner.
In Malaysia, the National E-Invoicing Initiative (NEI) is poised to revolutionize how businesses handle invoices. With a focus on driving interoperable e-invoicing, the NEI aims to digitize invoice delivery between enterprises. Overseen by the Malaysia Digital Economy Corporation (MDEC), this initiative leverages the Peppol framework to enable smooth communication across various accounting software and ERP systems.
The recently passed Finance Bill introduces crucial amendments to the Income Tax Act, establishing a mechanism that mandates validation from the Inland Revenue Board of Malaysia (IRBM) before the issuance of e-invoices. This legislative move is geared towards expediting the adoption of e-invoicing. Furthermore, the Income Tax legislation sets phased deadlines for e-invoicing issuance, starting from August 2024 and concluding in July 2025.
The scope of e-invoicing extends beyond sales transactions; it includes mandatory self-billed e-invoices for the purchase of goods and services from foreign vendors. This necessitates businesses to assess the impact of e-invoicing on existing processes, especially in Customs-related workflows. Additionally, the implementation of e-invoicing has broader implications, influencing various aspects of businesses, including human resources.
As a leading ERP provider at the forefront of innovation, Yonyou stands prepared to empower businesses with cutting-edge e-invoicing solutions, ensuring they navigate this transformative journey with resilience and efficiency. Together, we embark on a path towards a digitally enhanced future for Malaysian enterprises.
