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e-Invoice Guide
Self-Billed e-Invoices Explained: When a Malaysian Buyer Issues the Invoice
Normally your supplier issues the e-Invoice. In nine situations LHDN turns that around and makes you, the buyer, issue it to yourself. Here is the full list, the deadlines, and exactly what to type when you have none of the supplier's details.
Botspot Odoo Team · Published · 15 min read
The short answer
- A self-billed e-Invoice is an e-Invoice the buyer issues instead of the supplier, then submits to LHDN for validation and keeps as proof of expense.
- It applies in nine situations LHDN lists. The most common by far is buying goods or services from a foreign supplier.
- If your annual income or sales are under RM3,000,000, you are exempt from e-Invoices including self-billed ones. You issue nothing.
- If a Malaysian supplier is simply exempt or not yet in scope, you are not allowed to self-bill. Keep their receipt.
- Imported goods: issue by the end of the second month after customs clearance. Imported services: end of the following month after payment or the supplier's invoice, whichever is earlier.
- You can consolidate self-billed e-Invoices only until 31 December 2027. After that, most need one document each.
What is a self-billed e-Invoice?
A self-billed e-Invoice is an e-Invoice that the buyer issues in place of the supplier. The buyer takes over the supplier's role, fills in the supplier's details, submits the document to LHDN through MyInvois for validation, and then uses the validated document as proof of expense for tax. It is required in nine specific situations, most often when the supplier is foreign and cannot use MyInvois at all. Specific Guideline v4.9 · s.8.1–8.4
The ordinary flow is simple: you buy something, the seller issues the e-Invoice, LHDN validates it, and you keep it as your expense record. Self-billing flips the direction of who does the work — but not who the parties are. On the document, the supplier is still the supplier and you are still the buyer. You are only the issuer.
If you search "self billing" you will find guidance about a written self-billing agreement signed by both parties, VAT numbers, and an invoice marked "self-billing". That is the EU and UK arrangement, where two companies choose to reverse who raises the paperwork.
Malaysia does not work that way. There is no agreement to sign, and you do not get to choose. A self-billing invoice is not even a separate document type here — LHDN calls it a self-billed e-Invoice, and it applies only when your payment falls into one of the nine situations below. Outside those nine, self-billing is not an option.
When is a self-billed e-Invoice required?
LHDN lists nine transactions where the buyer must issue the e-Invoice. If your payment is not on this list, you do not self-bill. Specific Guideline v4.9 · s.8.3, Table 8.1
- Agents & dealersYou pay the commission, you issue it
- Foreign suppliersThe common one — they cannot use MyInvois
- Profit distributionDividends and the like
- e-CommerceThe platform issues it, not the merchant
- Betting pay-outsCasino and gaming machines exempted for now
- IndividualsNot in business — the catch-all row
- InterestFive exceptions — most bank charges are out
- Insurance pay-outsThe insurer issues it
- Capital reductionBuybacks, redemptions, liquidation
| Transaction | Supplier on the document | Who issues it |
|---|---|---|
| Payment to agents, dealers, distributors and the like | The agent, dealer or distributor | The taxpayer making the payment |
| Goods sold or services rendered by a foreign supplier | The foreign seller | The Malaysian purchaser |
| Profit distribution, such as a dividend | Whoever receives the distribution | The taxpayer making the distribution |
| e-Commerce transactions | The merchant or service provider (e.g. an e-hailing driver, a p-hailing rider) | The e-commerce or intermediary platform |
| Pay-outs to betting and gaming winners | The person receiving the pay-out | The licensed betting and gaming provider |
| Transactions with individuals who are not running a business | That individual | Whoever is transacting with them |
| Interest payments (five exceptions — see below) | Whoever receives the interest | The taxpayer paying the interest |
| Claims, compensation or benefit payments from an insurer | The policyholder or beneficiary | The insurer |
| Capital reduction, share or unit redemption, share buyback, return of capital, liquidation proceeds | The investor | The investee |
Two details are easy to miss. The individuals row applies only when none of the other eight do — it is the catch-all, not the first thing to reach for. And pay-outs to winners in a casino or from gaming machines are exempted from self-billed e-Invoices until LHDN says otherwise. Specific Guideline v4.9 · s.8.3(e) note
Three everyday examples from LHDN's own guideline show how wide the "individuals" row reaches. A company buying a second-hand games console from an employee must self-bill. A business renting land from a teacher who does not run a business must self-bill. And a company renting an office from three individual landlords must issue three separate self-billed e-Invoices, one per owner, split by their agreed share. Specific Guideline v4.9 · Examples 11, 12, 14
Do you have to issue self-billed e-Invoices at all?
Before working through the nine situations, check whether you are inside the e-Invoice mandate in the first place. Since 1 September 2026 a large number of Malaysian businesses are not — and the exemption covers self-billing too, in LHDN's own words: exempt parties are not required to issue an e-Invoice "including self-billed e-Invoice". Guideline v4.8 · s.1.6.1
Annual income or sales under RM3,000,000. You are exempt from e-Invoices, self-billed ones included. Your normal records stand as proof of expense.
Under RM3m but you have a non-individual shareholder, a holding company, or a related company or joint venture at RM3m or above. The exemption can fall away.
Annual income or sales of RM3,000,000 or more. Work through the nine situations for every payment you make.
The threshold is set from your 2022 audited accounts or your YA2022 tax return, not from this year's numbers. If your financial period was not twelve months, it is pro-rated to twelve. Guideline v4.8 · s.1.5
The exemption is also about you, not about the business you are paying. A large company paying a tiny supplier is still inside the mandate, and a small company paying a large supplier is still outside it. For the full picture of who is in scope, when, and the three ways the exemption can fall away, read our pillar guide to Malaysia's e-Invoice guidelines.
Most self-billing guides online were written before September 2026 and still assume the old RM500,000 or RM1 million thresholds. If an article tells you to self-bill your foreign software subscriptions and you turn over RM2 million a year, it is out of date. Check the figure it quotes before acting on it.
Buying from a foreign supplier
This is the situation that catches most businesses out, because the obligation sits on the buyer. A foreign supplier is not subject to Malaysian e-Invoice rules and cannot submit anything to MyInvois. So if you are in scope and you buy from one, you issue the document yourself to record the expense. Specific Guideline v4.9 · s.10.4.3
In practice this covers a lot of ordinary spending: overseas software subscriptions and cloud services, imported stock and raw materials, international freight, overseas consultants, legal and advisory fees from abroad, and foreign marketing platforms.
Where do the supplier's details come from?
You can take them from the invoice, bill or receipt the foreign supplier gave you, or ask them for what is missing. Where a field does not apply to them, or they simply will not provide it, you enter NA. Specific Guideline v4.9 · s.10.4.5
What if they have no Malaysian tax number?
Most foreign suppliers will not have one. LHDN publishes a general TIN for exactly this: enter EI00000000030 as the supplier's TIN. If there is no business registration number either, enter NA. Specific Guideline v4.9 · Appendix 1, Table 10.1
Don't forget imported service tax
If service tax on imported taxable services applies to what you bought, that tax amount has to go into the document. It is not a separate filing question you can leave to the end of the quarter — it belongs on the document. Specific Guideline v4.9 · s.10.4.7
Do you have to send it to the supplier?
No — and this is a genuine exception. As a general rule the buyer is obliged to share the validated self-billed e-Invoice with the supplier. For a foreign supplier, LHDN states the Malaysian purchaser is not required to share it, and sends the validation notification to the Malaysian purchaser only. Your overseas vendor never needs to know this document exists. Specific Guideline v4.9 · s.8.5 vs s.10.4.5–10.4.6
When you must not issue a self-billed e-Invoice
This is the most common mistake, and it comes from a reasonable-sounding assumption: that whenever a supplier cannot give you an e-Invoice, you should self-bill to protect your deduction. That is wrong, and LHDN says so directly.
In the guideline's worked example, a business buys cupcakes from a small roadside stall that is not yet mandated and receives a handwritten receipt. LHDN's conclusion: the business is "not required and not allowed to issue self-billed e-Invoice" for that expense, and may keep using the handwritten receipt to substantiate it for tax purposes. Specific Guideline v4.9 · Example 13
So a Malaysian supplier who is exempt, or simply not yet in scope, is not a reason to self-bill. Their ordinary receipt or invoice is already valid proof of expense for you. Guideline v4.8 · s.1.6.2 The test is not "can my supplier issue an e-Invoice?" — it is "is this payment one of the nine?"
Separately, some payments need no e-Invoice at all, self-billed or otherwise: employment income, pensions, alimony and maintenance, zakat, certain dividend distributions, the contract value of exchange-traded securities and derivatives, certain disposals of unlisted shares, and donations or contributions covered by LHDN's specific FAQ. Guideline v4.8 · s.1.6.7
Do bank charges need a self-billed e-Invoice?
Usually no. Interest payments are on the list of nine, which makes people assume every bank charge needs one from them. But the interest row carries five exceptions, and the first one covers most banking.
When a business such as a financial institution charges interest to the public at large, the bank issues the e-Invoice, not you. The same goes for interest an employee pays an employer, interest a foreign payor pays a Malaysian taxpayer, interest paid to a related Malaysian company that runs centralised treasury services for its group, and late payment interest or charges imposed by a Malaysian taxpayer. In all five, LHDN is explicit that the supplier issues the e-Invoice. Specific Guideline v4.9 · s.8.3(g)
| Situation | Who issues it | Why |
|---|---|---|
| Your mortgage or business loan interest to a bank | The bank | Interest charged to the public at large |
| A staff loan repaid with interest to the employer | The employer | Interest paid by employee to employer |
| Late-payment charges you bill your own customer | You, as the supplier | Late payment interest imposed by a Malaysian taxpayer |
| Interest to a group treasury company in Malaysia | The treasury company | Related company providing centralised treasury services |
| Interest to a holding company that is not a group treasury company | You, self-billed | None of the five exceptions apply |
The pattern is worth remembering: if the person receiving the interest is in the business of charging it, they issue the e-Invoice. If they are not, you self-bill.
How to issue a self-billed e-Invoice in MyInvois
The mechanics are the same as any e-Invoice — through the MyInvois Portal for low volumes, or through an API connection from your accounting or ERP system for anything regular. Specific Guideline v4.9 · s.10.4.5
-
Confirm you are the one who has to issue it
Check that you are inside the mandate, then check the payment against the nine situations. If neither holds, stop — issuing one anyway is not harmless.
-
Collect the supplier's details
Name, address, phone, tax identification number, business registration number, SST registration number, MSIC code and business activity. Take what you can from their invoice and ask for the rest.
-
Create the document as a self-billed invoice
In MyInvois this is document type 11, not the normal 01. You appear as the issuer while the supplier's details go in the supplier fields.
-
Fill the gaps with LHDN's prescribed values
Where the supplier has no TIN, no registration number or no SST number, do not leave the field blank and do not invent anything. Use the general TINs and placeholder values in the table below.
-
Submit it for validation
LHDN validates the document and returns a unique identifier number and a QR code. Only a validated document is proof of expense.
-
Share it with the supplier — unless they are foreign
You are generally obliged to send the validated document, or its visual representation, to the supplier. Foreign suppliers are the exception: no sharing required.
A validated e-Invoice can be cancelled within 72 hours of validation. After that window closes you cannot cancel it — you have to issue a self-billed credit or debit note instead. Guideline v4.8 · s.2.3.6
What to enter when you don't have the supplier's details
This is where most self-billing work actually stalls. A foreign vendor has no Malaysian tax number; an individual landlord has no business registration; nobody has an MSIC code to hand. LHDN prescribes an exact value for each gap, and using the right one matters because the document will not validate otherwise. Specific Guideline v4.9 · Tables 3.4, 8.2, 8.3, 10.1
| Situation | Field | Enter |
|---|---|---|
| Foreign supplier with no TIN | Supplier's TIN | EI00000000030 |
| Individual gave you a TIN but no identity number | Registration / ID / passport no. | 000000000000 |
| Individual gave you a MyKad, MyTentera, MyPR or MyKAS number but no TIN | Supplier's TIN | EI00000000010 |
| Consolidated self-billed e-Invoice | Supplier name and TIN | General Public and EI00000000010 |
| Supplier not SST-registered, or detail not provided | SST no., address, phone, business activity, registration no. | NA |
| MSIC code unknown or not provided | Supplier's MSIC code | 00000 |
One thing you cannot fill with a placeholder is the classification code — a three-digit value from LHDN's catalogue describing what you bought. That has to be a real choice each time.
Self-billed e-Invoice deadlines
There is no single deadline. Imports of goods and imports of services run on different clocks, and most guidance skips this entirely.
| What you bought | Deadline | Source |
|---|---|---|
| Imported goods | End of the second month following the month customs clearance is obtained | s.10.4.8 |
| Imported services | End of the month following either your payment or your receipt of the supplier's invoice — whichever is earlier | s.10.4.9 |
| Capital reduction, buybacks, liquidation proceeds | The date of the written agreement; or the date of government approval where one is needed; or, with no written agreement, the date of completion | s.8.3(i) |
| Consolidated self-billed e-Invoices | Monthly, within seven calendar days after the month ends | s.3.6.6 |
The imported-services rule is the one to build a habit around, because "whichever is earlier" means a supplier's invoice can start the clock before you have paid anything. If you pay an overseas platform in March and the invoice arrived in February, February is what counts, and it is due by the end of March. Specific Guideline v4.9 · s.10.4.8–10.4.9
Can you consolidate self-billed e-Invoices?
Right now, yes — for all nine situations. From 1 January 2028, mostly no. This is a two-part answer and both parts matter for how you set your systems up this year.
The standing rule
Consolidation does not apply to self-billed e-Invoices, except in four cases: transactions with individuals not running a business; interest paid to the public at large; claims, compensation or benefit payments from an insurer to individuals, government or state authorities; and self-billed circumstances involving your own overseas branches or offices. Specific Guideline v4.9 · s.3.6.5
Read plainly, that means foreign-supplier purchases, agent commissions, dividend distributions and e-commerce settlements each need their own self-billed e-Invoice. One document per transaction.
The relaxation that suspends it
During the interim relaxation period, LHDN allows a consolidated self-billed e-Invoice for all the self-billed circumstances — and says you need not issue one per transaction even if the supplier asks for it. For businesses in the final phase, that window runs to 31 December 2027, with full enforcement from 1 January 2028. Specific Guideline v4.9 · s.16.2(b), s.16.2(d), Table 16.1
A monthly roll-up of your overseas subscriptions is acceptable today and will not be in 2028. If you are choosing or configuring a system now, make sure it can produce individual self-billed e-Invoices per supplier and per transaction — not just a month-end summary. Building around the concession is building something you will have to redo.
Self-billed document type codes
If you or your developer are wiring MyInvois up directly, self-billed documents use their own type codes. They mirror the normal ones.
| Document | Normal | Self-billed |
|---|---|---|
| Invoice | 01 | 11 |
| Credit note | 02 | 12 |
| Debit note | 03 | 13 |
| Refund note | 04 | 14 |
The payload is otherwise an ordinary e-Invoice: the supplier and buyer blocks keep their normal meaning, and only the issuer changes. MyInvois SDK · e-Invoice Type Codes
What happens if you don't issue one
Failing to issue an e-Invoice when required is an offence under section 120(1)(d) of the Income Tax Act 1967. On conviction the penalty is a fine of RM200 to RM20,000, imprisonment for up to six months, or both. LHDN · Non-Compliance and Offences
There is a quieter cost too. A self-billed e-Invoice is what substantiates the expense. No validated document, no clean proof of expense — which is a problem at audit rather than on the day.
During the interim relaxation period LHDN has said it will not bring prosecution under section 120 for e-Invoice non-compliance, provided the business is meeting the relaxation's own conditions. That is relief from the penalty, not from the obligation: if you are in scope, you are required to issue these documents now. Specific Guideline v4.9 · s.16.3
Can your system actually issue one?
Most accounting systems handle sales invoices well and purchase-side documents badly. A self-billed e-Invoice is a purchase-side document you have to create, validate and store — often for a supplier who is not in your master data at all.
Botspot runs a free MyInvois compliance check: we look at where your self-billed situations actually arise, whether your current setup can produce and submit them, and what the January 2028 end of consolidation will mean for you.
Official Odoo Partner · Kuala Lumpur · No obligation, and if you are under RM3m we will tell you so.
Self-billed e-Invoice: frequently asked questions
What is a self-billed e-Invoice in Malaysia?
It is an e-Invoice issued by the buyer instead of the supplier. The buyer takes over the supplier's role, submits the document to LHDN through MyInvois for validation, and uses the validated document as proof of expense for tax purposes.
Is a self-billing invoice the same thing?
In Malaysia, yes — people say self-billing invoice, but LHDN's term is self-billed e-Invoice and there is no separate document for it. It is not the European arrangement either: no self-billing agreement is signed, and it applies only to the nine situations LHDN lists.
Who issues a self-billed e-Invoice, the buyer or the supplier?
The buyer. That is the whole point of it. The supplier's details still appear in the supplier fields, but the buyer is the issuer and the one who submits it to LHDN.
Do I need a self-billed e-Invoice for a foreign supplier?
Yes, if you are inside the e-Invoice mandate. A foreign supplier cannot use MyInvois, so the Malaysian buyer issues it instead. Use EI00000000030 as the supplier's TIN if they do not have one.
What is the self-billed e-Invoice deadline?
For imported goods, the end of the second month following the month customs clearance is obtained. For imported services, the end of the month following your payment or the supplier's invoice, whichever comes first. Consolidated ones are due within seven calendar days after month end.
Do bank charges need a self-billed e-Invoice?
Generally no. Interest charged by a business such as a bank to the public at large is one of five exceptions where the supplier issues the e-Invoice instead. The bank issues it, not you.
What is the self-billed e-Invoice code?
In MyInvois, a self-billed invoice is document type 11. A self-billed credit note is 12, a debit note 13 and a refund note 14.
Can I consolidate self-billed e-Invoices?
Until 31 December 2027, yes, for all nine self-billed situations under the interim relaxation. After that the standing rule returns: consolidation is only allowed for transactions with individuals, interest paid to the public, insurer payments to individuals and government bodies, and your own overseas branches.
Is there an exemption from self-billed e-Invoices?
Yes. Taxpayers with annual income or sales under RM3,000,000 are exempt from issuing e-Invoices including self-billed ones, effective 1 September 2026. Foreign diplomatic offices and individuals not conducting a business are also exempt.
What TIN do I use if the supplier has no TIN?
Use the general TIN for the situation: EI00000000030 for a foreign supplier, and EI00000000010 where an individual gave you only a MyKad, MyTentera, MyPR or MyKAS number. Never leave the field blank or invent a number.
What happens if I don't issue a self-billed e-Invoice?
It is an offence under section 120(1)(d) of the Income Tax Act 1967, carrying a fine of RM200 to RM20,000, up to six months' imprisonment, or both. LHDN has said it will not prosecute during the interim relaxation period for businesses meeting its conditions.
About the author
Botspot Odoo Team — Botspot is an Official Odoo Partner with certified Odoo developers, working with Malaysian businesses from our Kuala Lumpur office on accounting, inventory, POS and MyInvois e-Invoicing implementations. We read LHDN's guidelines in full rather than summarising other people's summaries, and we cite the exact section behind every rule on this page.
This article is general guidance on published LHDN requirements, not tax advice. Group structures, industry-specific exclusions and your own implementation date can change the answer — check your position with a licensed tax agent before acting on it.
Sources
- LHDN — Garis Panduan e-Invois (e-Invoice Guideline), version 4.8, published 30 August 2026.
- LHDN — Garis Panduan Spesifik e-Invois (e-Invoice Specific Guideline), version 4.9, published 7 September 2026.
- LHDN — Non-Compliance and Offences.
- MyInvois SDK — e-Invoice Type Codes.
Every rule on this page was checked against the guideline versions above on 28 September 2026. Note that LHDN's English-language Specific Guideline is still at version 4.7 while the Malay version is at 4.9; the section numbering is identical, and we have worked from the current version. LHDN updates these documents regularly — check the guideline page for a newer release before relying on any figure here.
Related pages
e-Invoice Guide
Self-Billed e-Invoices Explained: When a Malaysian Buyer Issues the Invoice
Normally your supplier issues the e-Invoice. In nine situations LHDN turns that around and makes you, the buyer, issue it to yourself. Here is the full list, the deadlines, and exactly what to type when you have none of the supplier's details.
Botspot Odoo Team · Published · 15 min read
The short answer
- A self-billed e-Invoice is an e-Invoice the buyer issues instead of the supplier, then submits to LHDN for validation and keeps as proof of expense.
- It applies in nine situations LHDN lists. The most common by far is buying goods or services from a foreign supplier.
- If your annual income or sales are under RM3,000,000, you are exempt from e-Invoices including self-billed ones. You issue nothing.
- If a Malaysian supplier is simply exempt or not yet in scope, you are not allowed to self-bill. Keep their receipt.
- Imported goods: issue by the end of the second month after customs clearance. Imported services: end of the following month after payment or the supplier's invoice, whichever is earlier.
- You can consolidate self-billed e-Invoices only until 31 December 2027. After that, most need one document each.
What is a self-billed e-Invoice?
A self-billed e-Invoice is an e-Invoice that the buyer issues in place of the supplier. The buyer takes over the supplier's role, fills in the supplier's details, submits the document to LHDN through MyInvois for validation, and then uses the validated document as proof of expense for tax. It is required in nine specific situations, most often when the supplier is foreign and cannot use MyInvois at all. Specific Guideline v4.9 · s.8.1–8.4
The ordinary flow is simple: you buy something, the seller issues the e-Invoice, LHDN validates it, and you keep it as your expense record. Self-billing flips the direction of who does the work — but not who the parties are. On the document, the supplier is still the supplier and you are still the buyer. You are only the issuer.
If you search "self billing" you will find guidance about a written self-billing agreement signed by both parties, VAT numbers, and an invoice marked "self-billing". That is the EU and UK arrangement, where two companies choose to reverse who raises the paperwork.
Malaysia does not work that way. There is no agreement to sign, and you do not get to choose. A self-billing invoice is not even a separate document type here — LHDN calls it a self-billed e-Invoice, and it applies only when your payment falls into one of the nine situations below. Outside those nine, self-billing is not an option.
When is a self-billed e-Invoice required?
LHDN lists nine transactions where the buyer must issue the e-Invoice. If your payment is not on this list, you do not self-bill. Specific Guideline v4.9 · s.8.3, Table 8.1
- Agents & dealersYou pay the commission, you issue it
- Foreign suppliersThe common one — they cannot use MyInvois
- Profit distributionDividends and the like
- e-CommerceThe platform issues it, not the merchant
- Betting pay-outsCasino and gaming machines exempted for now
- IndividualsNot in business — the catch-all row
- InterestFive exceptions — most bank charges are out
- Insurance pay-outsThe insurer issues it
- Capital reductionBuybacks, redemptions, liquidation
| Transaction | Supplier on the document | Who issues it |
|---|---|---|
| Payment to agents, dealers, distributors and the like | The agent, dealer or distributor | The taxpayer making the payment |
| Goods sold or services rendered by a foreign supplier | The foreign seller | The Malaysian purchaser |
| Profit distribution, such as a dividend | Whoever receives the distribution | The taxpayer making the distribution |
| e-Commerce transactions | The merchant or service provider (e.g. an e-hailing driver, a p-hailing rider) | The e-commerce or intermediary platform |
| Pay-outs to betting and gaming winners | The person receiving the pay-out | The licensed betting and gaming provider |
| Transactions with individuals who are not running a business | That individual | Whoever is transacting with them |
| Interest payments (five exceptions — see below) | Whoever receives the interest | The taxpayer paying the interest |
| Claims, compensation or benefit payments from an insurer | The policyholder or beneficiary | The insurer |
| Capital reduction, share or unit redemption, share buyback, return of capital, liquidation proceeds | The investor | The investee |
Two details are easy to miss. The individuals row applies only when none of the other eight do — it is the catch-all, not the first thing to reach for. And pay-outs to winners in a casino or from gaming machines are exempted from self-billed e-Invoices until LHDN says otherwise. Specific Guideline v4.9 · s.8.3(e) note
Three everyday examples from LHDN's own guideline show how wide the "individuals" row reaches. A company buying a second-hand games console from an employee must self-bill. A business renting land from a teacher who does not run a business must self-bill. And a company renting an office from three individual landlords must issue three separate self-billed e-Invoices, one per owner, split by their agreed share. Specific Guideline v4.9 · Examples 11, 12, 14
Do you have to issue self-billed e-Invoices at all?
Before working through the nine situations, check whether you are inside the e-Invoice mandate in the first place. Since 1 September 2026 a large number of Malaysian businesses are not — and the exemption covers self-billing too, in LHDN's own words: exempt parties are not required to issue an e-Invoice "including self-billed e-Invoice". Guideline v4.8 · s.1.6.1
Annual income or sales under RM3,000,000. You are exempt from e-Invoices, self-billed ones included. Your normal records stand as proof of expense.
Under RM3m but you have a non-individual shareholder, a holding company, or a related company or joint venture at RM3m or above. The exemption can fall away.
Annual income or sales of RM3,000,000 or more. Work through the nine situations for every payment you make.
The threshold is set from your 2022 audited accounts or your YA2022 tax return, not from this year's numbers. If your financial period was not twelve months, it is pro-rated to twelve. Guideline v4.8 · s.1.5
The exemption is also about you, not about the business you are paying. A large company paying a tiny supplier is still inside the mandate, and a small company paying a large supplier is still outside it. For the full picture of who is in scope, when, and the three ways the exemption can fall away, read our pillar guide to Malaysia's e-Invoice guidelines.
Most self-billing guides online were written before September 2026 and still assume the old RM500,000 or RM1 million thresholds. If an article tells you to self-bill your foreign software subscriptions and you turn over RM2 million a year, it is out of date. Check the figure it quotes before acting on it.
Buying from a foreign supplier
This is the situation that catches most businesses out, because the obligation sits on the buyer. A foreign supplier is not subject to Malaysian e-Invoice rules and cannot submit anything to MyInvois. So if you are in scope and you buy from one, you issue the document yourself to record the expense. Specific Guideline v4.9 · s.10.4.3
In practice this covers a lot of ordinary spending: overseas software subscriptions and cloud services, imported stock and raw materials, international freight, overseas consultants, legal and advisory fees from abroad, and foreign marketing platforms.
Where do the supplier's details come from?
You can take them from the invoice, bill or receipt the foreign supplier gave you, or ask them for what is missing. Where a field does not apply to them, or they simply will not provide it, you enter NA. Specific Guideline v4.9 · s.10.4.5
What if they have no Malaysian tax number?
Most foreign suppliers will not have one. LHDN publishes a general TIN for exactly this: enter EI00000000030 as the supplier's TIN. If there is no business registration number either, enter NA. Specific Guideline v4.9 · Appendix 1, Table 10.1
Don't forget imported service tax
If service tax on imported taxable services applies to what you bought, that tax amount has to go into the document. It is not a separate filing question you can leave to the end of the quarter — it belongs on the document. Specific Guideline v4.9 · s.10.4.7
Do you have to send it to the supplier?
No — and this is a genuine exception. As a general rule the buyer is obliged to share the validated self-billed e-Invoice with the supplier. For a foreign supplier, LHDN states the Malaysian purchaser is not required to share it, and sends the validation notification to the Malaysian purchaser only. Your overseas vendor never needs to know this document exists. Specific Guideline v4.9 · s.8.5 vs s.10.4.5–10.4.6
When you must not issue a self-billed e-Invoice
This is the most common mistake, and it comes from a reasonable-sounding assumption: that whenever a supplier cannot give you an e-Invoice, you should self-bill to protect your deduction. That is wrong, and LHDN says so directly.
In the guideline's worked example, a business buys cupcakes from a small roadside stall that is not yet mandated and receives a handwritten receipt. LHDN's conclusion: the business is "not required and not allowed to issue self-billed e-Invoice" for that expense, and may keep using the handwritten receipt to substantiate it for tax purposes. Specific Guideline v4.9 · Example 13
So a Malaysian supplier who is exempt, or simply not yet in scope, is not a reason to self-bill. Their ordinary receipt or invoice is already valid proof of expense for you. Guideline v4.8 · s.1.6.2 The test is not "can my supplier issue an e-Invoice?" — it is "is this payment one of the nine?"
Separately, some payments need no e-Invoice at all, self-billed or otherwise: employment income, pensions, alimony and maintenance, zakat, certain dividend distributions, the contract value of exchange-traded securities and derivatives, certain disposals of unlisted shares, and donations or contributions covered by LHDN's specific FAQ. Guideline v4.8 · s.1.6.7
Do bank charges need a self-billed e-Invoice?
Usually no. Interest payments are on the list of nine, which makes people assume every bank charge needs one from them. But the interest row carries five exceptions, and the first one covers most banking.
When a business such as a financial institution charges interest to the public at large, the bank issues the e-Invoice, not you. The same goes for interest an employee pays an employer, interest a foreign payor pays a Malaysian taxpayer, interest paid to a related Malaysian company that runs centralised treasury services for its group, and late payment interest or charges imposed by a Malaysian taxpayer. In all five, LHDN is explicit that the supplier issues the e-Invoice. Specific Guideline v4.9 · s.8.3(g)
| Situation | Who issues it | Why |
|---|---|---|
| Your mortgage or business loan interest to a bank | The bank | Interest charged to the public at large |
| A staff loan repaid with interest to the employer | The employer | Interest paid by employee to employer |
| Late-payment charges you bill your own customer | You, as the supplier | Late payment interest imposed by a Malaysian taxpayer |
| Interest to a group treasury company in Malaysia | The treasury company | Related company providing centralised treasury services |
| Interest to a holding company that is not a group treasury company | You, self-billed | None of the five exceptions apply |
The pattern is worth remembering: if the person receiving the interest is in the business of charging it, they issue the e-Invoice. If they are not, you self-bill.
How to issue a self-billed e-Invoice in MyInvois
The mechanics are the same as any e-Invoice — through the MyInvois Portal for low volumes, or through an API connection from your accounting or ERP system for anything regular. Specific Guideline v4.9 · s.10.4.5
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Confirm you are the one who has to issue it
Check that you are inside the mandate, then check the payment against the nine situations. If neither holds, stop — issuing one anyway is not harmless.
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Collect the supplier's details
Name, address, phone, tax identification number, business registration number, SST registration number, MSIC code and business activity. Take what you can from their invoice and ask for the rest.
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Create the document as a self-billed invoice
In MyInvois this is document type 11, not the normal 01. You appear as the issuer while the supplier's details go in the supplier fields.
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Fill the gaps with LHDN's prescribed values
Where the supplier has no TIN, no registration number or no SST number, do not leave the field blank and do not invent anything. Use the general TINs and placeholder values in the table below.
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Submit it for validation
LHDN validates the document and returns a unique identifier number and a QR code. Only a validated document is proof of expense.
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Share it with the supplier — unless they are foreign
You are generally obliged to send the validated document, or its visual representation, to the supplier. Foreign suppliers are the exception: no sharing required.
A validated e-Invoice can be cancelled within 72 hours of validation. After that window closes you cannot cancel it — you have to issue a self-billed credit or debit note instead. Guideline v4.8 · s.2.3.6
What to enter when you don't have the supplier's details
This is where most self-billing work actually stalls. A foreign vendor has no Malaysian tax number; an individual landlord has no business registration; nobody has an MSIC code to hand. LHDN prescribes an exact value for each gap, and using the right one matters because the document will not validate otherwise. Specific Guideline v4.9 · Tables 3.4, 8.2, 8.3, 10.1
| Situation | Field | Enter |
|---|---|---|
| Foreign supplier with no TIN | Supplier's TIN | EI00000000030 |
| Individual gave you a TIN but no identity number | Registration / ID / passport no. | 000000000000 |
| Individual gave you a MyKad, MyTentera, MyPR or MyKAS number but no TIN | Supplier's TIN | EI00000000010 |
| Consolidated self-billed e-Invoice | Supplier name and TIN | General Public and EI00000000010 |
| Supplier not SST-registered, or detail not provided | SST no., address, phone, business activity, registration no. | NA |
| MSIC code unknown or not provided | Supplier's MSIC code | 00000 |
One thing you cannot fill with a placeholder is the classification code — a three-digit value from LHDN's catalogue describing what you bought. That has to be a real choice each time.
Self-billed e-Invoice deadlines
There is no single deadline. Imports of goods and imports of services run on different clocks, and most guidance skips this entirely.
| What you bought | Deadline | Source |
|---|---|---|
| Imported goods | End of the second month following the month customs clearance is obtained | s.10.4.8 |
| Imported services | End of the month following either your payment or your receipt of the supplier's invoice — whichever is earlier | s.10.4.9 |
| Capital reduction, buybacks, liquidation proceeds | The date of the written agreement; or the date of government approval where one is needed; or, with no written agreement, the date of completion | s.8.3(i) |
| Consolidated self-billed e-Invoices | Monthly, within seven calendar days after the month ends | s.3.6.6 |
The imported-services rule is the one to build a habit around, because "whichever is earlier" means a supplier's invoice can start the clock before you have paid anything. If you pay an overseas platform in March and the invoice arrived in February, February is what counts, and it is due by the end of March. Specific Guideline v4.9 · s.10.4.8–10.4.9
Can you consolidate self-billed e-Invoices?
Right now, yes — for all nine situations. From 1 January 2028, mostly no. This is a two-part answer and both parts matter for how you set your systems up this year.
The standing rule
Consolidation does not apply to self-billed e-Invoices, except in four cases: transactions with individuals not running a business; interest paid to the public at large; claims, compensation or benefit payments from an insurer to individuals, government or state authorities; and self-billed circumstances involving your own overseas branches or offices. Specific Guideline v4.9 · s.3.6.5
Read plainly, that means foreign-supplier purchases, agent commissions, dividend distributions and e-commerce settlements each need their own self-billed e-Invoice. One document per transaction.
The relaxation that suspends it
During the interim relaxation period, LHDN allows a consolidated self-billed e-Invoice for all the self-billed circumstances — and says you need not issue one per transaction even if the supplier asks for it. For businesses in the final phase, that window runs to 31 December 2027, with full enforcement from 1 January 2028. Specific Guideline v4.9 · s.16.2(b), s.16.2(d), Table 16.1
A monthly roll-up of your overseas subscriptions is acceptable today and will not be in 2028. If you are choosing or configuring a system now, make sure it can produce individual self-billed e-Invoices per supplier and per transaction — not just a month-end summary. Building around the concession is building something you will have to redo.
Self-billed document type codes
If you or your developer are wiring MyInvois up directly, self-billed documents use their own type codes. They mirror the normal ones.
| Document | Normal | Self-billed |
|---|---|---|
| Invoice | 01 | 11 |
| Credit note | 02 | 12 |
| Debit note | 03 | 13 |
| Refund note | 04 | 14 |
The payload is otherwise an ordinary e-Invoice: the supplier and buyer blocks keep their normal meaning, and only the issuer changes. MyInvois SDK · e-Invoice Type Codes
What happens if you don't issue one
Failing to issue an e-Invoice when required is an offence under section 120(1)(d) of the Income Tax Act 1967. On conviction the penalty is a fine of RM200 to RM20,000, imprisonment for up to six months, or both. LHDN · Non-Compliance and Offences
There is a quieter cost too. A self-billed e-Invoice is what substantiates the expense. No validated document, no clean proof of expense — which is a problem at audit rather than on the day.
During the interim relaxation period LHDN has said it will not bring prosecution under section 120 for e-Invoice non-compliance, provided the business is meeting the relaxation's own conditions. That is relief from the penalty, not from the obligation: if you are in scope, you are required to issue these documents now. Specific Guideline v4.9 · s.16.3
Can your system actually issue one?
Most accounting systems handle sales invoices well and purchase-side documents badly. A self-billed e-Invoice is a purchase-side document you have to create, validate and store — often for a supplier who is not in your master data at all.
Botspot runs a free MyInvois compliance check: we look at where your self-billed situations actually arise, whether your current setup can produce and submit them, and what the January 2028 end of consolidation will mean for you.
Official Odoo Partner · Kuala Lumpur · No obligation, and if you are under RM3m we will tell you so.
Self-billed e-Invoice: frequently asked questions
What is a self-billed e-Invoice in Malaysia?
It is an e-Invoice issued by the buyer instead of the supplier. The buyer takes over the supplier's role, submits the document to LHDN through MyInvois for validation, and uses the validated document as proof of expense for tax purposes.
Is a self-billing invoice the same thing?
In Malaysia, yes — people say self-billing invoice, but LHDN's term is self-billed e-Invoice and there is no separate document for it. It is not the European arrangement either: no self-billing agreement is signed, and it applies only to the nine situations LHDN lists.
Who issues a self-billed e-Invoice, the buyer or the supplier?
The buyer. That is the whole point of it. The supplier's details still appear in the supplier fields, but the buyer is the issuer and the one who submits it to LHDN.
Do I need a self-billed e-Invoice for a foreign supplier?
Yes, if you are inside the e-Invoice mandate. A foreign supplier cannot use MyInvois, so the Malaysian buyer issues it instead. Use EI00000000030 as the supplier's TIN if they do not have one.
What is the self-billed e-Invoice deadline?
For imported goods, the end of the second month following the month customs clearance is obtained. For imported services, the end of the month following your payment or the supplier's invoice, whichever comes first. Consolidated ones are due within seven calendar days after month end.
Do bank charges need a self-billed e-Invoice?
Generally no. Interest charged by a business such as a bank to the public at large is one of five exceptions where the supplier issues the e-Invoice instead. The bank issues it, not you.
What is the self-billed e-Invoice code?
In MyInvois, a self-billed invoice is document type 11. A self-billed credit note is 12, a debit note 13 and a refund note 14.
Can I consolidate self-billed e-Invoices?
Until 31 December 2027, yes, for all nine self-billed situations under the interim relaxation. After that the standing rule returns: consolidation is only allowed for transactions with individuals, interest paid to the public, insurer payments to individuals and government bodies, and your own overseas branches.
Is there an exemption from self-billed e-Invoices?
Yes. Taxpayers with annual income or sales under RM3,000,000 are exempt from issuing e-Invoices including self-billed ones, effective 1 September 2026. Foreign diplomatic offices and individuals not conducting a business are also exempt.
What TIN do I use if the supplier has no TIN?
Use the general TIN for the situation: EI00000000030 for a foreign supplier, and EI00000000010 where an individual gave you only a MyKad, MyTentera, MyPR or MyKAS number. Never leave the field blank or invent a number.
What happens if I don't issue a self-billed e-Invoice?
It is an offence under section 120(1)(d) of the Income Tax Act 1967, carrying a fine of RM200 to RM20,000, up to six months' imprisonment, or both. LHDN has said it will not prosecute during the interim relaxation period for businesses meeting its conditions.
About the author
Botspot Odoo Team — Botspot is an Official Odoo Partner with certified Odoo developers, working with Malaysian businesses from our Kuala Lumpur office on accounting, inventory, POS and MyInvois e-Invoicing implementations. We read LHDN's guidelines in full rather than summarising other people's summaries, and we cite the exact section behind every rule on this page.
This article is general guidance on published LHDN requirements, not tax advice. Group structures, industry-specific exclusions and your own implementation date can change the answer — check your position with a licensed tax agent before acting on it.
Sources
- LHDN — Garis Panduan e-Invois (e-Invoice Guideline), version 4.8, published 30 August 2026.
- LHDN — Garis Panduan Spesifik e-Invois (e-Invoice Specific Guideline), version 4.9, published 7 September 2026.
- LHDN — Non-Compliance and Offences.
- MyInvois SDK — e-Invoice Type Codes.
Every rule on this page was checked against the guideline versions above on 28 September 2026. Note that LHDN's English-language Specific Guideline is still at version 4.7 while the Malay version is at 4.9; the section numbering is identical, and we have worked from the current version. LHDN updates these documents regularly — check the guideline page for a newer release before relying on any figure here.