Malaysia opens e-invoicing amnesty until end of 2027
Malaysia's tax authority launched a penalty-free disclosure programme on 7 July 2026 allowing businesses to correct e-invoicing errors and non-compliance until 31 December 2027.
Malaysia’s Inland Revenue Board announced a Special Voluntary Disclosure Programme (PKPS) on 7 July 2026 that lets businesses correct e-invoicing gaps without penalties until the end of 2027. The programme also offers a one-year capital allowance for ICT equipment and software costs tied to e-invoicing implementation.
Malaysia’s Inland Revenue Board (HASiL) launched a Special Voluntary Disclosure Programme (PKPS) on 7 July 2026 to help businesses correct e-invoicing compliance failures without financial penalties. The amnesty window runs until 31 December 2027.
The programme covers three main compliance gaps:
- Businesses that implemented e-invoicing but failed to issue invoices for certain transactions
- Taxpayers who submitted e-invoices with errors or non-compliant information
- Businesses that failed to submit e-invoices entirely after becoming subject to the mandatory regime
Under the programme, businesses can voluntarily review, update and correct their e-invoicing records in line with Malaysia’s General and Specific e-Invoice Guidelines.
Context and rollout timeline
Malaysia’s e-invoicing mandate began with large taxpayers in August 2024 and has progressively expanded to smaller business segments. As implementation has reached micro, small and medium-sized enterprises (MSMEs), practical challenges have emerged: system integration difficulties, process redesign costs, data quality issues and resource constraints.
The PKPS programme sends two signals. First, the government acknowledges genuine implementation difficulties and offers a structured path to compliance. Second, the relief is temporary. The firm end date of 31 December 2027 signals that enforcement will intensify once the window closes.
Tax incentive for full compliance
Beyond penalty relief, the government introduced a tax incentive for compliant businesses. Taxpayers may claim a full capital allowance within one year for qualifying ICT equipment and software development or modification costs related to e-invoicing implementation. This measure aims to reduce the financial burden of digital transformation.
What businesses should do now
For multinational groups and domestic businesses operating in Malaysia, the programme offers a chance to conduct a comprehensive review of e-invoicing processes. Businesses should assess transaction coverage, validate invoice data quality and confirm technical compliance with MyInvois specifications. This review can help minimize audit and penalty risks once the disclosure window closes at the end of 2027.