KUALA LUMPUR, December 7 – Prime Minister Datuk Seri Anwar Ibrahim announced that companies earning below RM1 million annually will be exempt from mandatory e-invoicing starting next year, raising the threshold from the previous RM500,000.
He said the Cabinet agreed to the change after receiving direct feedback from small business owners who felt the system would impose additional costs and pressure. Speaking at the Madani Sentuhan Rakyat programme at the Sabah International Convention Centre, Anwar assured that larger firms should have no issue complying.
While smaller enterprises will not be compelled to adopt e-invoicing for now as the government studies cost implications for businesses exceeding the RM1 million mark. Anwar also addressed long-standing complaints over delayed tax refunds, particularly from small businesses and members of the Chinese business community.
To expedite outstanding payments, he announced that the federal government would double the allocation for tax refunds from RM2 billion to RM4 billion this month. The prime minister further reaffirmed the government’s commitment to implementing Sabah’s 40% revenue claim under MA63.
Nnoting that technical discussions are underway to establish clear parameters for phased payments in a transparent and legally sound manner.
