Malaysia has expanded the scope of its mandatory e-invoicing requirements to include additional types of activities/transactions, according to the latest E-Invoice Specific Guideline (Version 4.4) released on 12 September 2025 by the Inland Revenue Board of Malaysia (IRBM).
Key Updates
Effective 1 January 2026, two additional categories of transactions will require individual e-invoices to be issued for each transaction, rather than consolidated e-invoices:
- Electricity sector: Distribution, supply, or sale of electricity by electricity service providers
- Telecommunications sector: Telecommunication services related to postpaid plans and internet subscriptions, and sales of electronic devices
These additions increase the total number of specific industry activities requiring individual e-invoices, joining existing categories such as automotive, aviation, construction, luxury goods, betting/gaming, and high-value transactions.
Compliance Implications
Businesses operating in these newly added sectors will need to:
- Collect complete buyer information for each transaction
- Issue individual e-invoices rather than consolidated invoices
- Ensure their systems are ready to comply by 1 January 2026
Malaysia continues to implement mandatory e-invoicing and e-reporting through its phased approach, where different taxpayer groups are onboarded according to their annual turnover thresholds. Each group receives a six-month “relaxation period” from their respective mandatory implementation dates, during which businesses can issue consolidated e-invoices for all transactions, including those that would normally require individual e-invoices. Click here to learn more about the current Malaysian e-invoicing timeline.
For future updates on Malaysia and similar developments in other countries, follow our Regulatory Analysis page.
