Does an SSM enterprise need e-invoicing

The situation

From 1 September 2026, businesses with annual turnover below RM3 million are exempt from mandatory e-invoicing under the IRBM guideline, subject to group conditions.

The law

• Sec 82C, Income Tax Act 1967 and IRBM e-Invoice Guideline v4.8: Persons must issue e-invoices as specified by the Director General; exemption below RM3 million turnover from 1 Sep 2026

What it means for you

A sole proprietor with RM400,000 in sales is well under the threshold. Buyers may still ask for an e-invoice, and you may issue one voluntarily through the free MyInvois portal. Re-check each year as turnover grows.

What to do

1. Check your annual turnover.
2. Confirm no group link that removes the exemption.
3. Issue normal invoices meanwhile.
4. Re-test each year.

Related

• Which tax form for a sole proprietor
• Renewing an expired business registration
• Trade name or own name registration
• Who can register a sole proprietorship
• Partnership with a friend under ROB
• Deadline to register a new business