In today’s digital age, streamlining business transactions is crucial for Malaysian businesses. The Malaysian Inland Revenue Board’s (IRBM) MyInvois Portal empowers companies to seamlessly integrate e-invoicing into their operations, regardless of their existing infrastructure. This user-friendly platform offers a one-stop shop for managing e-invoices, fostering greater accuracy, transparency, and improved communication with trading partners.

Key Functionalities of the MyInvois Portal

• Comprehensive E-Invoice Management: MyInvois Portal eliminates the need for juggling multiple systems. Here, businesses can generate, submit, view, cancel, or reject e-Invoices. This centralized approach saves valuable time and resources while ensuring a smooth e-invoicing workflow.
• Accessibility for All: Unlike some solutions requiring businesses to have their own e-invoicing systems, MyInvois offers inclusivity. All taxpayers can access the portal to view and search for their e-Invoices. Importantly, MyInvois provides a cost-effective solution for companies lacking their own e-invoicing systems, ensuring compliance without significant upfront investment.

A Step-by-Step Guide to Generating and Managing E-Invoices via IRBM – MyInvois Portal:

Pre-Submission: Setting the Stage

• Effortless TIN Retrieval and Verification: Accurate e-invoice creation requires a valid Taxpayer Identification Number (TIN). MyInvois Portal simplifies this process by allowing taxpayers to conveniently verify their TIN through the MyTax Portal. For businesses that are not yet registered, the portal provides access to the e-Daftar platform for quick and easy TIN registration.

Step 1: Creating and Submitting E-Invoices

Following a sale or transaction (including adjustments like debit/credit notes), taxpayers (Suppliers) can create e-Invoices in two ways:

• Individual Creation: For one-off transactions or smaller volumes, taxpayers can manually complete a form with all required fields within the MyInvois Portal. This method is suitable for businesses with a lower transaction volume or those preferring a simpler approach.

• Batch Generation: MyInvois Portal caters to businesses with high transaction volumes by offering a batch generation option. Taxpayers can upload a defined layout file containing necessary invoice information for bulk e-invoice creation. This feature significantly reduces manual data entry and streamlines the invoice creation process for high-volume businesses.

Step 2: E-Invoice Validation – Ensuring Accuracy

Upon submission, IRBM performs near real-time validation of the e-invoice. This efficient process ensures that e-invoices comply with the prescribed format and data requirements. A validated e-Invoice includes:

• IRBM Unique Identifier Number: This unique identifier enhances traceability and reduces the risk of tampering with the e-invoice.
• Date and Time of Validation: Provides a clear record of when the e-invoice was validated by IRBM.
• Validation Link: This link allows authorized users to access a visual representation of the validated e-invoice.

If any errors are identified during validation, MyInvois Portal provides clear error messages. Suppliers can then rectify the issues and resubmit the e-invoice promptly. This real-time feedback mechanism minimizes delays and ensures the accuracy of e-invoices within the system.

Step 3: Timely Notification – Keeping Everyone Informed

Once validated, IRBM leverages the MyInvois Portal to notify both the Supplier and Buyer of the e-invoice status. Additionally, email notifications are sent for further transparency and record-keeping purposes. These notifications can include clearance confirmation and Buyer rejection requests, keeping both parties informed throughout the process.

Step 4: Sharing the Validated E-Invoice – Transparency and Verification

Following validation, the Supplier is obligated to share the validated e-invoice with the Buyer. This visual representation, generated from the MyInvois Portal, includes a QR code. This QR code empowers Buyers to verify the existence and status of the e-Invoice directly through the MyInvois Portal. This feature provides Buyers with instant access to the e-invoice details and reduces the risk of fraud or manipulation.

Enhanced Control with Rejection and Cancellation Functions

A significant improvement within the MyInvois Portal is the introduction of functionalities for rejection and cancellation:

Step 5 & 6: Buyer-Initiated Rejection

• Timeframe for Error Correction: Buyers have 72 hours from the time of e-Invoice validation to request a rejection via the MyInvois Portal if they detect errors in the e-Invoice (e.g., Sales and Service Tax (SST) numbers, business registration numbers, or any other relevant business details). This window allows Buyers to promptly identify and address discrepancies before finalizing the transaction.
• Justification for Rejection: The Buyer’s rejection request should include a clear explanation of the identified errors to expedite resolution. This explanation should detail the specific discrepancies found in the e-invoice.

Here are some examples:

• Incorrect item details: Mention any errors in product descriptions, quantities, or unit prices.
• Miscalculations: Highlight any discrepancies in total amounts, discounts, or taxes applied.
• Missing information: Specify any crucial details missing from the e-invoice, such as the Buyer’s Purchase Order (PO) number or specific product codes.
• Incorrect tax information: Indicate any errors in Sales and Service Tax (SST) rates, registration numbers, or exemption details.

By providing a clear and concise explanation of the rejection reason, the Buyer helps the Supplier understand the issue quickly and take appropriate action. This not only facilitates faster resolution but also promotes smoother communication and strengthens the business relationship.

Supplier Response and Cancellation:

Upon receiving a rejection request notification from IRBM, the Supplier can choose to accept the rejection if they acknowledge the validity of the reasons provided by the Buyer. In this scenario, the Supplier has 72 hours from the validation time to cancel the e-Invoice through the MyInvois Portal.

Time Constraints and Next Steps: If the Supplier does not accept the rejection request or fails to cancel the e-invoice within the designated 72-hour window, cancellation is no longer possible. Any subsequent adjustments necessitate the issuance of a new e-invoice, such as a credit note, debit note, or refund note. This time frame ensures prompt communication and timely issue resolution while maintaining a clear audit trail.

Step 6 & 7: Supplier-Initiated Cancellation – Addressing Errors Proactively

• Correcting Errors or Cancelling Erroneous Invoices: In instances where a Supplier identifies errors or issues an e-Invoice erroneously, they can initiate cancellation within 72 hours of validation through the MyInvois Portal. Similar to buyer-initiated rejection, the cancellation request must be accompanied by a justification explaining the reason for cancellation.
• Notification and Adjustments: Upon cancellation by the Supplier, a notification is sent to the Buyer through the MyInvois Portal. The Supplier would then need to reissue a corrected e-invoice following Step 1, ensuring accurate information is reflected within the system.

Benefits of Rejection and Cancellation Functions

The introduction of rejection and cancellation functionalities within the MyInvois Portal offers several advantages for both buyers and suppliers:

• Reduced Errors and Disputes: Timely correction of errors through rejection and cancellation minimizes discrepancies in invoices, leading to fewer disputes and smoother business transactions.
• Enhanced Efficiency: The ability to quickly address mistakes eliminates the need for back-and-forth communication and manual adjustments, saving valuable time and resources for both buyers and suppliers.
• Improved Cash Flow Management: By preventing inaccurate invoices from being paid, rejection and cancellation functions ensure a clearer picture of outstanding payments, allowing for better cash flow management.
• Stronger Trust and Collaboration: The ability to openly address discrepancies fosters trust between buyers and suppliers, promoting better collaboration and long-term business relationships.

Step 8: Storing E-Invoices – Secure Record Keeping

All validated e-Invoices are securely stored within IRBM’s database. However, it is crucial for taxpayers to maintain sufficient records and documentation related to each transaction for potential future reference or audits.

Step 9: Reporting and Dashboard Services – Gaining Insights

The MyInvois Portal offers a comprehensive reporting and dashboard section for both suppliers and buyers. This user-friendly interface allows taxpayers to:

• Request and Retrieve E-Invoices: Search, download, and view past e-Invoices in various formats, including XML/JSON, metadata, CSV reports, grids, and PDF files. This functionality provides flexibility for record-keeping and data analysis.

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