As e-Invoicing becomes mandatory in Malaysia, businesses need to determine the best method for issuing e-Invoices. There are two ways to submit e-Invoices:
1️⃣ Issuing E-Invoice via API (Using Accounting Software)
Businesses can submit e-Invoices via API integration, which requires investing in accounting software that connects directly to LHDN’s system.
💡 Think of API as a bridge between your accounting system and LHDN – it allows businesses to automatically submit e-Invoices without manual input in MyInvois Portal.
2️⃣ Issuing E-Invoice via MyInvois Portal (Manual Submission)
Alternatively, businesses can use the MyInvois Portal, which is hosted by LHDN and free for taxpayers.
- If your business mandatory issue an e-Invoice for every transaction (e.g., construction industry), you shall use API and cannot use consolidated e-Invoices—so MyInvois Portal may not be suitable for you.
- If your business allows consolidated invoices and your transaction volume is not too high, you can use MyInvois Portal to submit e-Invoices manually.
Should You Use MyInvois or Invest in Accounting Software?
From my perspective, these types of businesses can consider submitting e-Invoices manually via MyInvois:
- High-value transactions but low volume – If your business deals with high-value transactions but not many invoices per day, using MyInvois Portal can be manageable.
- Not all customers require e-Invoices – For example, if you run a retail shop selling clothes, most walk-in customers won’t request an e-Invoice. You can continue using your current system while issuing e-Invoices only when necessary.
💡 Investing in accounting software is beneficial, but since LHDN provides a free MyInvois portal, it’s worth considering whether your business truly needs paid software. Many SMEs are struggling financially, so I hope this guide can help business owners decide what they actually need before making an investment.
Step-by-Step Guide: Issuing an E-Invoice via MyInvois Portal
2. Start a New E-Invoice
- Click “New Documents”
- Press “Start”
3. Enter E-Invoice Number
- You will be asked to enter an e-Invoice number
- If your business has its own invoice running number (e.g., IV-001233, INV2025/1001), click “Override” to enter your custom number
- If you don’t enter a custom number, MyInvois will generate an automatic running number for you
4. Fill in Supplier & Buyer Information
- Supplier – Your business details (auto-filled)
- Buyer – Your customer’s details
💡 How to Search for Customer TIN?
In our previous post How to Search TIN, we explained how to find a customer’s TIN number. In MyInvois, you can search for a TIN directly while issuing an e-Invoice – without using MyDigital ID apps.
5. Enter Customer Information
- Mandatory fields are highlighted in yellow – Ensure all required information is entered correctly
- If your customer does not have an SST Registration Number, enter “NA”
6. Add Line Items (Products/Services)
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- Click “Add Line”
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- Fill in the following:
- Classification Code (Refer to LHDN’s Classification Code List)
- Product/Service Description
- Quantity & Unit of Measurement
- Unit Price
- Other Fields – Fill in if applicable
- Fill in the following:
💡 We will discuss Classification Codes in detail in an upcoming post.
7. Select Tax Type
- Choose the appropriate Tax Category
- If no tax applies, select “Not Applicable”
- Click “+Add”
- Verify and Press “Continue“
8. Proceed to Additional Information
- There are four optional sections:
- Frequency of Billing Information
- Payment & Prepayment Information
- Shipping Information
- Import & Export Information
- There are four optional sections:
- If your business does not involve import/export, you can skip these fields(3 &4) and proceed
9. Review & Submit the E-Invoice
- Click “Continue”
- Review all details in the Summary & Submit tab
- Ensure all items and amounts are correct
- Click “Sign & Submit Document”
10. Sign & Submit the E-Invoice
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- Enter your MyTax ID and password
- Tick the confirmation box
- Click “Submit”
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- A “Document Submitted!” message will appear & Click on the Code
11. Download & Print the E-Invoice
- Click on the generated e-Invoice code
- Press Print and save the e-Invoice as a PDF
- Share the e-Invoice with your customers
Final Thoughts – Is MyInvois Portal Right for Your Business?
Issuing an e-Invoice via MyInvois Portal is not difficult, but it is time-consuming compared to using accounting software.
Now that I have demonstrated the full process, you can decide whether:
✅ You can handle this process manually, or
✅ You should invest in accounting software
💡 All information above is for demonstration purposes only. I hope this guide helps businesses make informed decisions about e-Invoice implementation.
📌 Stay tuned for more e-Invoice insights!🚀