How to invoice in Malaysia
Malaysia is mid-rollout on e-invoicing, so what you need depends on your turnover. The baseline is your business name, address and Tax Identification Number (TIN), the buyer's details, a unique invoice number and date, a clear description of the goods or services, and the SST amount where you are SST-registered. Sales Tax runs at 10% (5% on some goods) and Service Tax at 8% (with some categories such as food and beverage, telecommunications and logistics at 6%); businesses below the registration thresholds do not charge SST. If your turnover puts you in a mandated e-invoicing phase, the invoice must also be submitted to LHDN's MyInvois system for validation before it is issued to the buyer.
| Malaysia at a glance | Detail |
|---|---|
| Currency | MYR (RM) |
| Standard SST | 8% |
| Tax ID | TIN |
| Paper size | A4 |
| Typical terms | Net 30 |
| E-invoicing | Phasing in |
Tax ID format: Tax Identification Number (TIN) issued by LHDN — companies carry a 'C' prefix plus 10 digits, e.g. C2584563202. SST-registered businesses also quote an SST registration number, e.g. W10-1808-32000123..
What Malaysian invoices must include
- The word “Invoice” and a unique, sequential invoice number
- The issue date (and the supply date if it differs)
- Your business name, address and TIN
- The client's name and address (and their TIN for reverse-charge or intra-EU supplies)
- A clear description and quantity for each line
- The net amount per SST rate, the rate(s) applied and the SST amount
- The total payable, in MYR
- Payment terms, the due date and how to pay (bank name, IBAN/account)
- SST registration number (if SST-registered)
- MyInvois unique identifier / validation QR code (once in a mandated e-invoicing phase)
SST & reverse charge
For cross-border work, the right wording matters. Invoice Forever offers ready-made Malaysian SST notes such as:
- SST (8% service tax) charged where applicable; this invoice is issued by an SST-registered business.
- Not registered for SST — no service tax has been charged on this invoice.
- Zero-rated / exported service — outside the scope of Malaysian Sales and Service Tax.
E-invoicing in Malaysia
Malaysia's LHDN MyInvois e-invoicing rolls out by annual turnover: Phase 1 (>RM100m) since 1 Aug 2024, Phase 2 (>RM25m) since 1 Jan 2025, Phase 3 (>RM5m) since 1 Jul 2025, and Phase 4 (RM1m-RM5m) from 1 Jan 2026. On 8 December 2025 the government raised the permanent exemption threshold to RM1 million turnover and cancelled the planned final phase, so businesses at or below RM1m are exempt. A six-month interim relaxation applies from each phase's start date, during which consolidated e-invoices are permitted and IRBM will not prosecute for non-compliance.
Invoice Forever can export a structured EN 16931 / Peppol BIS (UBL) e-invoice alongside the PDF (beta) — the format most of these mandates are built on. You still send it via your own access point, and some countries require their own national format.
Verified 23 July 2026 against the source. E-invoicing rules are changing quickly, so always confirm the current position with the Lembaga Hasil Dalam Negeri (LHDN/IRBM) for TIN and MyInvois e-invoicing, and the Royal Malaysian Customs Department (RMCD) for SST before you rely on it. This page is general guidance, not tax advice.
Payment terms in Malaysia
Net 30 is the common business norm in Malaysia, though terms from 14 to 60 days are all used depending on sector and relationship. Bank transfer (including DuitNow) is the standard settlement method.
Questions about invoicing in Malaysia
Malaysia levies SST rather than VAT/GST: Service Tax is 8% (some categories such as F&B, telecoms and logistics stay at 6%) and Sales Tax is 10% (5% on some goods). You only charge SST if you are registered; businesses below the registration thresholds invoice without it.
Yes. Show your Tax Identification Number (TIN) issued by LHDN, and your SST registration number if you are SST-registered. A TIN is required for both parties once you fall within a mandated MyInvois e-invoicing phase.
It is phasing in by turnover through LHDN's MyInvois system. Businesses above RM100m, RM25m and RM5m are already live, and the RM1m-RM5m band is mandated from 1 January 2026 (with a six-month interim relaxation from the start date during which consolidated e-invoices are permitted). On 8 December 2025 the exemption threshold was raised to RM1 million and the previously planned final phase was cancelled, so businesses with turnover up to RM1 million are exempt.
Make an invoice for Malaysia, free.
MYR and 8% SST already set, on A4 paper. No signup, no watermark.
Make an invoice for Malaysia