Anwar: Government postpones e-invoicing for SMEs earning RM1m to RM5m a year

PUTRAJAYA, Jan 5 — The government will extend the e-invoicing transition period by a year for companies with annual sales between RM1 million and RM5 million, Prime Minister Datuk Seri Anwar Ibrahim announced today, easing pressure on thousands of mid-sized businesses ahead of the original January 2026 deadline.

He said the requirement, which was due to take effect on January 1, 2026, will now be implemented without penalties. 

Anwar said some companies “are still not ready because the cost of preparation is quite high,” speaking during his 2026 New Year Message at the Prime Minister’s Department monthly assembly here today.

Businesses with annual revenue below RM1 million remain exempt from the e-invoicing requirement. 

The Inland Revenue Board had earlier deferred implementation for mid-sized firms from July 1, 2025, to Jan 1, 2026, citing the need to give companies more time to prepare.

Anwar said the government would continue monitoring the programme to ensure a smooth rollout and minimise disruption to businesses, as authorities balance digitalisation goals with concerns from smaller players about compliance costs.