Best E-Invoicing Software for Sdn Bhd Malaysia 2026

The phase depends on your annual turnover. Sdn Bhds with revenue above RM100 million were required to comply from August 2024 (Phase 1). Those between RM25 million and RM100 million fell under Phase 2 (January 2025). Most SME Sdn Bhds with lower turnover are in Phase 3 or 4, with later deadlines — confirm your specific phase based on your latest audited accounts.

LHDN enforcement of e-invoicing non-compliance can result in penalties levied on the company. While directors are not personally liable in the same way as for tax fraud, company officers can face regulatory scrutiny if non-compliance is persistent or willful. It is best to ensure your Sdn Bhd adopts a certified solution before your applicable deadline.

If your Sdn Bhd is SST-registered, yes — your e-invoicing software must handle SST correctly, including applying the right tax codes to each invoice line item and generating SST return reports. SQL Accounting, AutoCount, and Bukku all offer built-in SST modules. Non-SST-registered companies can use simpler plans without the full tax module.

Businesses that fail to comply with LHDN's e-invoicing mandate risk financial penalties under the Income Tax Act 1967. LHDN has indicated an enforcement-first approach after initial grace periods. Penalties can include fines per non-compliant invoice. Adopting a certified solution before the deadline is strongly recommended to avoid exposure.