PUTRAJAYA, April 27 — The Inland Revenue Board (LHDN) has identified taxpayer non-compliance through its review of e-invoice data, prompting thousands of taxpayers to voluntarily regularise their tax affairs.
It said that it has been issuing reminder notices, or “nudges”, to encourage taxpayers to disclose any undeclared income or rectify errors in their tax filings.
As a result of this approach, 38,906 taxpayers have submitted their Income Tax Return Forms, declaring a total of RM3.5 billion in income, involving RM760.7 million in taxes payable.
Taxpayers who have yet to submit their returns despite receiving reminders may face further action, including audits and enforcement measures.
“In this regard, the LHDN calls on all parties to fulfil their tax obligations by accurately reporting income and paying taxes accordingly,” LHDN said in a statement today.
To further strengthen compliance with the e-invoicing system, it conducted the 2026 National-Level E-Invoice Compliance Review Operation nationwide from Monday (April 20) to Friday (April 24).
During the operation, 108 taxpayers were found not to have implemented e-invoicing, despite being required to do so under Phases One and Two of the rollout.
Since the e-invoice system was introduced on August 1, 2024, a total of 225,604 taxpayers have adopted the system, issuing a combined 1.299 billion e-invoices.
LHDN said this strong uptake reflects taxpayers' positive support for digitalisation initiatives aimed at improving business operations and ensuring more efficient, systematic record-keeping.
