SHAH ALAM, July 7 — The government has announced a new e-Invoice Voluntary Disclosure Programme that allows businesses to voluntarily correct or update their e-Invoice submissions until December 31, 2027, without penalties.
Prime Minister Datuk Seri Anwar Ibrahim said the initiative represents a significant relaxation of tax compliance requirements to reduce compliance costs for companies amid global economic pressures.
He noted that such flexibility is rarely granted for income tax matters.
“During this period, any updates, reviews and corrections submitted voluntarily will not be subject to penalties by the Inland Revenue Board,” he said during the Prime Minister’s Question Time in the Dewan Rakyat today.
Anwar was responding to Ipoh Timor MP Lee Chuan How’s query about the federal government's efforts to help small and medium enterprises (SMEs) ensure business continuity.
He added that the government has also agreed to accelerate tax incentives for taxpayers who comply with e-Invoicing by allowing a full capital allowance claim within one year on qualifying expenditure related to its implementation.
The incentive is part of additional measures to ease the transition to e-Invoice implementation and encourage greater tax compliance among businesses.
Anwar also reiterated several previously announced measures to support businesses, including raising the e-Invoicing exemption threshold from RM500,000 to RM1 million in annual revenue, as well as extending the implementation transition period until December 31, 2027, for businesses with an annual turnover of up to RM5 million.
"More than RM15 billion in financing facilities backed by government guarantees have also been made available for SMEs, including RM5 billion earmarked specifically for Bumiputera entrepreneurs," he said.
Since May this year, Anwar said Bank Negara Malaysia's Stability Relief Facility has disbursed almost RM1 billion, benefiting more than 1,500 SMEs, while the Business Financing Guarantee Scheme approved RM4.9 billion in financing during the first half of 2026, benefiting over 6,000 businesses.
"SMEs remain a key pillar of the national economy, contributing 39.5 per cent of Malaysia's gross domestic product, employing 48.7 per cent of the workforce, or about 8.1 million people, and accounting for RM168 billion, or 14.3 per cent, of the country's exports,” he said.
To help reduce operating costs, rental rates for government-owned business premises have been lowered, with the Kuala Lumpur City Hall reducing rentals by 80 per cent and Majlis Amanah Rakyat by 20 per cent.
The Prime Minister noted that several state governments, including Selangor and Penang, have introduced similar measures.
