With e-Invoice becoming an increasingly important part of Malaysia’s tax administration system, businesses are expected to ensure that their invoicing processes are accurate and compliant.
Recognising that businesses may encounter errors or gaps during the implementation of e-Invoice, the Inland Revenue Board of Malaysia (LHDN/HASiL) has introduced the e-Invoice Special Voluntary Disclosure Programme (SVDP).
The programme commenced on 7 July 2026 and will remain effective until 31 December 2027, giving taxpayers an opportunity to review and regularise their e-Invoice compliance.
What Is the e-Invoice SVDP?
The e-Invoice Special Voluntary Disclosure Programme is an initiative introduced by LHDN to help taxpayers rectify inaccuracies and regularise their compliance with e-Invoice requirements.
Instead of leaving potential errors unresolved, businesses are encouraged to review their previous e-Invoice transactions and take the necessary corrective action where required.
This provides businesses with an opportunity to improve their compliance processes and address issues that may have occurred during their transition to e-Invoice.
Why Is This Important for Businesses?
The implementation of e-Invoice represents a significant change in the way businesses record and report transactions.
Businesses may encounter issues such as:
- Incorrect information submitted in an e-Invoice
- Incomplete transaction details
- Errors in invoice data
- Transactions that were not properly submitted
- Incorrect treatment of certain transactions
- Differences between accounting records and e-Invoice records
These issues should not simply be ignored.
A regular review of e-Invoice records can help businesses identify discrepancies early and take appropriate corrective action.
What Should Businesses Review?
Businesses should consider conducting an internal review of their e-Invoice processes.
1. Review Your Sales Transactions
Compare your sales records against e-Invoice submissions to identify:
✔ Missing transactions
✔ Duplicate invoices
✔ Incorrect invoice amounts
✔ Incorrect customer information
2. Check Your Accounting Records
Your accounting records and e-Invoice records should be consistent.
Businesses should reconcile:
Sales Ledger ↔ General Ledger ↔ e-Invoice Records
Any unexplained differences should be investigated and corrected where necessary.
3. Review Your e-Invoice Process
Businesses should also assess whether their internal processes are working effectively.
Ask:
Who prepares the invoice?
Who checks the information?
Who submits the e-Invoice?
How are rejected or cancelled invoices handled?
Clear responsibilities can significantly reduce the risk of recurring errors.
New Document Versions for the SVDP
To support the programme, LHDN has introduced new document versions in the MyInvois Software Development Kit (SDK):
- SVDP 1.2 – without digital signature
- SVDP 1.3 – with digital signature
Businesses and service providers using system integrations should ensure their systems are updated to support the relevant document versions. LHDN has also advised Batch Upload users to use the latest template supporting these versions.
Don’t Wait Until the Last Minute
The SVDP period runs for more than a year, but businesses should not wait until December 2027 to review their records.
Early review allows businesses to:
✔ Identify errors sooner
✔ Correct accounting records where necessary
✔ Improve internal invoicing procedures
✔ Reduce the risk of repeated mistakes
✔ Maintain better documentation
✔ Strengthen overall tax compliance
A regular reconciliation between accounting records and e-Invoice records should become part of the company’s normal financial controls.
A Simple e-Invoice Compliance Checklist
Businesses can start with these five questions:
☑ Are all applicable sales transactions properly invoiced?
☑ Do the e-Invoice amounts agree with the accounting records?
☑ Are customer and supplier details accurate?
☑ Are rejected, cancelled and amended invoices properly tracked?
☑ Are supporting documents maintained for each transaction?
If the answer to any of these questions is “No” or “We’re Not Sure”, it may be time to conduct a more detailed review.
Turning Compliance Into Better Business Practices
e-Invoice compliance should not be viewed merely as another regulatory requirement.
When implemented properly, it can help businesses improve:
- Financial record accuracy
- Sales tracking
- Internal controls
- Documentation
- Tax reporting
- Overall financial transparency
The introduction of the SVDP provides businesses with an opportunity to identify weaknesses and strengthen their processes going forward.