D.I. IMPLEMENTED E-INVOICING STARTING FROM 1 JULY 2025
FAQs
Note: This is applicable for Malaysia Distributors only
Lembaga Hasil Dalam Negeri Malaysia (LHDNM) implemented the e-Invoicing system on 1 August 2024, impacting both Product and Service transactions, as well as Distributors’ Bonuses and Rewards. Diamond Interest Sdn. Bhd. (hereinafter D.I.) adopted the e-Invoicing system in JULY 2025.
1. What is the implementation timeline for e-Invoicing?
| ANNUAL REVENUE/ TURNOVER (IN 2022) | IMPLEMENTATION TIMELINE |
| Above RM100 million | 1 Aug 2024 |
| Above RM25 million and up to RM100 million | 1 Jan 2025 |
| Above RM500,000 and up to RM25 million | 1 July 2025 |
| Above RM150,000 and up to RM500,000 | 1 Jan 2026 |
2. What is e-Invoicing?
An e-Invoice is a digital record of a transactional exchange between a seller(supplier) and a purchaser (buyer), which goes through the Lembaga Hasil Dalam Negeri Malaysia (LHDNM) portal for validation and recordkeeping.
An e-Invoice contains all the details of an invoice along with a Unique Identification Number (UIN) and QR code, which are generated by LHDNM after proper verification
of the core fields like Tax Identification Number (TIN), Company Registration Number, MyKad Number, etc. The buyer and seller can scan the QR code to verify the authenticity of the e-Invoice.
3. Will D.I. issue an e-Invoice for all products sales and service orders?
Distributors / Stockists will receive an e-Invoice which contains the UIN and QR code generated by LHDNM in their D.I. account for the following orders placed after 1 July 2025:
- New Distributor registration
- Distributor product sales and service orders
- Stockist product sales and service orders
Other orders which do not fall under the above 3 categories and orders which are rejected by LHDNM due to incomplete data or invalid MyKad number will be compiled and consolidated by D.I. at the end of the month and sent to LHDNM within 7 calendar days after month end; this is known as a consolidated e-Invoice. Distributors/ Stockists will receive the normal invoice which doesn’t contain the UIN and QR code in their D.I. account.
4. What is the mandatory information that should be provided by Distributors / Stockists for e-Invoicing?
Individuals
- Name
- MyKad Number
- Tax Identification Number (TIN)
- Phone number
- Address
Legal Entities
- Company name
- Company Registration Number
- Tax Identification Number (TIN)
1. When will Distributors / Stockists receive their e-Invoice?
For online delivery orders, the e-Invoice is available upon product shipment.
For offline shop orders, the e-Invoice is available in 3 day.
2. My customer Ms. Lee ordered Yeeginkgo from me, I buy it from a branch, and I get an e-Invoice issued to me. When I pass the Yeeginkgo to Ms. Lee, do I need to issue another e-Invoice to her?
D.I. will transmit the e-Invoice to LHDNM for the sale of products to the Distributors.
If the Distributor’s annual revenue exceeds RM150,000 in 2022, they must transmit the e-Invoice to LHDNM for sales to customers (in this case, Ms. Lee).
If Ms. Lee doesn’t require an e-Invoice, the Distributor can issue a regular receipt and submit all sales transactions as a consolidated e-Invoice to LHDNM. Refer to Question 1 for the implementation timeline.
4. What is a self-billed e-Invoice?
For some business transactions, the buyer is required to assume the role of the supplier and issue a self-billed e-Invoice as a record for purchases made / spending by the buyer (as proof of expense). Distributors’ bonuses and rewards are included in these business transactions. Hence, D.I. is obliged to transmit the self-billed e-Invoice to LHDNM for the bonuses and rewards (monetary and non-monetary) given to Distributors.
D.I. is obliged to share a validated self-billed e-Invoice which contains the UIN and QR code with Distributors.
5. Is there any threshold for D.I. to issue a self-billed e-Invoice for Distributors’ bonuses and rewards?
D.I. is obliged to issue a self-billed e-Invoice for Distributors’ bonuses and rewards regardless of the amount.
6. When D.I. issues a self-billed e-Invoice for Distributors’ bonuses and rewards, will D.I. share a copy of the validated self-billed e-invoice with Distributors?
Yes, D.I. is obliged to share the validated self-billed e-Invoice with the Distributors. Distributors can use these validated self-billed e-Invoice as proof of income. Hence,
Distributors are not required to issue an e-Invoice for the bonuses and rewards earned from D.I..
7. D.I. will use the mandatory information of which party to issue a self-billed e-Invoice?
D.I. will refer to the bank account type for the self-billed e-Invoice.
| Bank Account Type | Deemed Supplier |
| Primary bank account | Primary applicant |
| Co-applicant bank account | Co-applicant |
| Corporate | Legal entity |
| Joint bank account – not subject to 2% WHT | Primary applicant |
| Joint bank account – subject to 2% WHT | Follow 2% WHT selection |
| SMS | Deemed Supplier |
| E-Voucher | D.I. Number (as indicated in the SMS) |
8. Can I change the bank account type as and when I wish?
While changes to bank account types are generally discouraged to ensure consistency in processing, but, Distributors may submit a request by contacting our HQ @ 04-3974675 (Attn: Ms. Ng).
9. For non-monetary benefits received, e.g. Seminars / Incentive Trips, will Distributors receive a self-billed e-Invoice?
Yes, D.I. will issue a self-billed e-Invoice for non-monetary rewards, such as seminars, trips and gifts provided to Distributors. All these benefits will also be reported under the CP58 form.
10. When will Distributors receive the self-billed e-Invoice for the bonuses and rewards?
For bonuses and monetary rewards, the self-billed e-Invoices will be available in their
D.I. account within the payment month.
For non-monetary rewards, the self-billed e-Invoices will be available in their D.I. account latest by the end of the year.
11. How about an Distributor’s international bonuses from overseas? Will there be a self-billed e-Invoice from overseas entities as well?
E-invoicing requirements are only applicable to businesses in Malaysia. Overseas entities are not required to issue any self-billed e-Invoices for the bonus payout and rewards (monetary and non-monetary) to Distributors. Hence, Distributors are required to issue an
e-Invoice for all foreign income received in Malaysia from outside Malaysia as a proof of income for tax purposes, latest by the end of the month following the month of receipt of the said foreign income.
12. If a consumer who said he doesn’t need a validated e-Invoice, later wants a copy, what can I do if it’s recorded as part of a consolidated e-Invoice?
If the consumer requests for an e-Invoice within the same month of the purchase transactions, the suppliers are required to issue an e-Invoice. If the consumer makes the request after the month-end, the suppliers can deny the request.
13. If everything already goes through LHDNM, does it mean that we don’t have to do tax filing anymore?
D.I. is not aware of any announcement made by LHDNM indicating that the taxpayer is not required to do any tax filing in the future.
14. What are the consequences if I do not transmit the e-Invoice, consolidated e-Invoice or self-billed e-Invoice to LHDNM?
The suppliers will be subject to a fine of not less than RM200 and not more than RM20,000 or imprisonment not exceeding 6 months or both.
15. Where can I find more information about e-Invoicing and its implementation?
For more detailed information and updates on e-Invoicing implementation in Malaysia,
please visit https://www.hasil.gov.my/en/e-invoice/
16. How do I update my information for the e-Invoicing system?
Starting 01.07.2025, D.I. will adopt the e-Invoicing system. Please complete the D.I. DISTRIBUTOR INFO UPDATE FORM and submit it via:
- WhatsApp: 012-4230698; or
- In-person: Nearest branch
- Form link: https://www.di2u.com.my/info/DI2025EINVOICE_INFO_UPDATE_FORM_MEMBER.pdf
17. What are the revised operational changes ahead of the e-Invoice implementation?
Effective 01.05.2025, the following changes apply:
- Sales Submission Deadline: Sales must be received by the D.I. on or before the 23rd of each month (online or mailed).
- Top-Up Period: Must be made between the 24th and 26th of each month. Eligibility requires:
- Distributor at Manager level or above; and
- 100BV or more purchased in that month.
- Late Submissions: Late submissions will count towards the next month’s sales, with the distributor responsible for any consequences.
