Fundamentals of E-Invoice and its Implementation Mechanism.

a) What is E-Invoice what does it entail in comparison with current invoicing practice?
b) Implementation threshold and phases and its (1) partial and (2) full mandatory
implementation entails.
c) What to do during the first 6 months partial implementation period (relaxation period)
d) Timing of issuing E-Invoice for the business transactions.
e) E-Invoice Processes and steps.
f) Compulsory and Optional information to be disclosed for E-Invoice
i. Compulsory fields – what to put in
ii. Optional fields – purpose of putting in.
iii. Transaction Classification Code
iv. Tax Type disclosure for each transaction
g) Scope of coverage: - (i) Parties, (ii)
Documents and (iii) transactions
h) Parties and activities exempted.
i) When to apply General TIN number and
on who.
j) Impact of E-Invoice on business operation after full implementation by IRB.
k) Scenarios of one party implemented E-Invoice and dealing with other parties
have not.
l) Examples on scenario where one party is exempted whereas the other party is not.
m) Penalties for non-compliance
n) Two implementation mechanism –
Processes and Steps.
i. IRB’s MyInvois System (cloud based)
ii. Application Program Interface (API) model
o) Salient Points of E-Invoice to note, including:
i. E-Invoice Creation and submission to IRB for validation
ii. Application of UTC time. (Coordinate Universal Time).
iii. Error in Validation, Rejections and Cancellation
iv. Notification of validation, rejections and cancellation by IRBM
v. Sharing of E-Invoice to customer
vi. Window time for rejection/cancellation of Invoice by buyer
vii. Storing of E-Invoice in IRB’s porter and its dash-board services.

Application of E-invoice for Various
Accounting of Business Transactions,
including clarification feedback from LHDN.
a) Issuance of E-Invoice:
i. Individual transaction E-Invoice
ii. Consolidated transactions E-Invoice
iii. Industries where consolidated E-Invoice
is not allowed.
iv. Self-billed E-Invoice for specific situations such as payment of commission, payment of interest, e-commerce, imports, etc.
v. Situation where consolidated self-billed is allowed.
vi. Business transactions under periodic basis.

b) E-Invoice Treatment for:
i. Reimbursement and Disbursements with E-Invoice and without E-Invoice.
ii. Billing of Penalties charges
iii. Employment perquisite and benefits, etc.
iv. Employees Claims – Mileage, Travelling and Accommodation allowance, General
Outstation allowance, Expenses (e.g., entertainment, hotel, tolls, parking, Telephone, Medical, Overseas
expenses, etc.)
v. Salary in lieu of notice matters.
vi. Import and export transactions
vii. Commission payment to agents, dealers and distributors
viii.Loyalty and Volume Rebates or discounts given to customers
ix. Interest received from Banks
x. Interest charge to employees’ loan/ advances
xi. Interest payment to Banks, HP companies.
xii. Inter-company interest charge and payment.
xiii. Sales with trade-ins like cars,
goldsmith, etc.
xiv. Profit sharing vs. Rental arrangement
xv. Foreign income remit back to Malaysia.
xvi. Rental or expenditure incurred from parties exempted from E-Invoice.

xvii. E-Commerce treatment
xviii. Utility Bills under Landlord’s name.
xix. Giving samples.
xx. Consignment sales
xxi. Sending goods to be kept in overseas warehouses
xxii. Sales of cash vouchers
xxiii. Issuance of cash vouchers on target purchase
xxiv. Payment to Foreign workers who are non-employees
xxv. Sponsorship for company events, like annual dinners by goods and cash.
xxvi. Pay for training and allowance for customers’ staff.
xxvii. Inter-branch sales,
xxviii. Advance payment to suppliers.
xxix. Received Insurance compensation
xxx. Disposal of total damaged goods after insurance compensation.
xxxi. Recoup of insurance claims from the fault party’s insurance.
xxxii. Developers pay legal fees, stamp duties, etc. on behalf of buyers.
xxxiii. Developers pay guarantee rental to property buyers,
xxxiv. Money Lending, and
xxxv. Many more other situations via
Sharing of 100s of past training Q &
A to participants for their own readings and future reference.