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Cost guide

How much does LHDN e-invoice integration cost in Malaysia?

By Pali (Wan Muhamad Fadzli), product builder, Penang.

Last updated

In Malaysia, LHDN's own MyInvois Portal costs staff time rather than software, middleware adds a vendor subscription, and a direct API integration into your own system is a one-off build. Pali adds LHDN e-invoicing to a custom app for RM 750, or to an ERP as a module for RM 750. Businesses below RM 3 million turnover are exempt.

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Who must issue LHDN e-invoices, and from when?

LHDN (the Inland Revenue Board of Malaysia) phases e-invoicing in by annual turnover or revenue, based on the 2022 audited accounts or tax return. Each phase got an interim relaxation period, during which consolidated e-invoices are allowed.

Annual turnover or revenue Must e-invoice from Interim relaxation until
more than RM 100 million 1 August 2024 31 January 2025
more than RM 25 million and up to RM 100 million 1 January 2025 30 June 2025
more than RM 5 million and up to RM 25 million 1 July 2025 31 December 2025
up to RM 5 million 1 January 2026 31 December 2027
  • Exempt: taxpayers with annual turnover or revenue below RM 3 million, unless a related company, holding company, corporate shareholder or joint venture partner is at or above that figure.
  • New businesses: those that started from 2023 to 2025 with turnover of at least RM 3 million must e-invoice from 1 July 2026.
  • Voluntary: any business may start earlier than its phase.

Checked on 7 October 2026 against LHDN’s e-Invoice General Guideline version 4.8 (30 August 2026) and Specific Guideline version 4.9 (7 September 2026). LHDN revises these often, so confirm the current version before you rely on a date.

What are the three ways to send e-invoices to LHDN?

LHDN offers two mechanisms, the MyInvois Portal and the API, and the API can be reached directly or through a technology provider. That gives an SME three practical options.

Option How it works Best for What you pay
MyInvois Portal Staff key in each invoice, or upload a batch by spreadsheet, on LHDN’s portal through MyTax Low volumes, no system to connect Staff time
Middleware provider A Peppol or non-Peppol provider sits between your software and LHDN Packaged accounting or POS software the provider already supports The provider’s subscription, priced per document or per month
Direct API integration Your own app or ERP submits, validates and stores e-invoices through the MyInvois API Custom systems and higher volumes A one-off build, then hosting at cost

What does each option cost a Malaysian SME?

  • MyInvois Portal. No software to buy. The real cost is the minutes each invoice takes to key in, check and share, multiplied by your monthly volume.
  • Middleware. Pricing is set by each provider and changes often, so compare quotes on three things: cost per document at your volume, setup fee, and how you export your data if you leave.
  • Direct API, inside a custom app. Pali adds LHDN e-invoicing to a web app, SaaS or mobile app for RM 750, which adds about 2 weeks to the build.
  • Direct API, inside an ERP. As an ERP module, LHDN e-invoicing costs RM 750 and needs the sales or accounting module, since invoices have to come from somewhere. SST handling adds RM 300.
  • After launch. LHDN changes fields and rules from time to time. The Maintain plan at RM 450 a month, or ERP Care for an ERP, keeps the integration current.

Which option fits my business?

  1. Below RM 3 million turnover and no related company above it: you are exempt today. Keep an eye on the guideline.
  2. A handful of invoices a week: the MyInvois Portal is enough.
  3. Packaged accounting or POS software: turn on its built-in e-invoicing, or the provider it partners with, before paying for anything custom.
  4. A custom system, many invoices, or several branches: a direct API integration removes the retyping and keeps one record of every sale.

What does a direct API integration involve?

  1. Register your system on MyInvois and set up its credentials for LHDN’s sandbox and production environments.
  2. Map every mandatory field in LHDN’s appendices, including the buyer’s TIN, to data your system already holds.
  3. Sign each document with a digital certificate, submit it, and store LHDN’s validation result and QR code against the sale.
  4. Handle rejections and cancellations within LHDN’s 72-hour window, plus consolidated e-invoices for walk-in buyers.
  5. Test every invoice type in the sandbox before switching production on.

The API itself is documented in LHDN’s MyInvois SDK.

How do I get a fixed price for my e-invoice integration?

  1. Price it in the calculator as an ERP module, or add LHDN e-invoice as an integration to any app.
  2. Book the one-week Discovery Sprint (RM 300). It confirms which of the three options fits and ends with a fixed quote.
  3. Build in milestones on that quote. Read how fixed-scope app development works, or see what a full ERP system costs in Malaysia.

Where do these facts come from?

This guide explains the rules in general. It is not tax advice; confirm what applies to your business with LHDN or your tax agent.

Frequently asked questions

Under LHDN's General Guideline version 4.8, taxpayers with annual turnover or revenue below RM 3 million are exempt. The exemption does not apply if a non-individual shareholder, holding company, related company or joint venture partner has turnover of at least RM 3 million. Confirm your own position with LHDN or your tax agent.

Yes. The portal is open to every taxpayer and supports single invoices and batch upload by spreadsheet. It suits low invoice volumes; once staff spend hours a week retyping invoices, an API integration usually pays for itself.

For the fourth phase, businesses with turnover up to RM 5 million, the relaxation runs until 31 December 2027. Until then LHDN allows consolidated e-invoices for every transaction and will not prosecute under Section 120 of the Income Tax Act 1967 if you follow those rules. After it ends, each transaction needs a proper e-invoice.

No SST is charged. Every price in this guide is in Ringgit Malaysia (RM) and comes from the published rate card.

Often, if the software has an API or a reliable export. If it already has built-in MyInvois support, switch that on first: it is usually cheaper than a custom connector. The Discovery Sprint checks which path fits before you pay for a build.

You do, once each milestone is paid. The MyInvois credentials, the code and the hosting sit in your own accounts from the start.

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