With Malaysia’s move toward digital tax compliance, understanding self-billed e-Invoices has become essential for businesses and freelancers alike. If you’re running your site on WordPress—whether as a seller, service provider, or digital entrepreneur—this guide will walk you through what a self-billed e-Invoice is, who is involved, and how to comply under LHDN’s latest e-Invoicing framework.
🔍 What is a Self-Billed e-Invoice?
A self-billed e-Invoice is an invoice issued by the Buyer (Recipient of Goods/Services) instead of the Seller (Supplier). This occurs when the supplier does not issue the invoice themselves, and the buyer generates it for record-keeping and compliance purposes.
This is particularly relevant in the following scenarios:
- When dealing with freelancers, agents, or individuals not registered as businesses
- When automated systems generate billing internally (common in affiliate or commission-based programs)
👥 Parties Involved in a Self-Billed e-Invoice
As outlined in Appendix 3 of the IRBM e-Invoice Specific Guideline, here are the parties typically involved:
| Party | Role in the Transaction |
|---|---|
| Buyer | Prepares and issues the self-billed e-Invoice |
| Supplier | Provides the goods or services to the buyer |
| IRBM (LHDN) | Validates the e-Invoice and stores it as a tax record |
| e-Invoicing System (e.g. MyInvois Portal/API) | Used to submit and validate the e-Invoice |
🛠️ When Should You Use Self-Billed e-Invoices?
Self-billed e-Invoices are required when:
- Suppliers are individuals not issuing formal invoices
- Paying commissions to agents or dealers
- Working with foreign vendors
- Paying insurance claims, interest or government-related benefits
📥 What Information Must Be Included?
According to Table 8.1 of the guideline, these fields must be filled:
- Supplier’s Name, TIN & ID/Passport Number
- Date, Product/Service Description
- Amount, Currency, and Transaction Reference
🔗 KinraSoft’s Cloud Accounting + Self-Billed e-Invoice Integration
One of the key challenges in managing self-billed e-Invoices is ensuring compliance, automation, and accuracy. That’s where KinraSoft’s cloud accounting solution comes in.
✅ KinraSoft Features That Support You:
- 🔄 Auto-generation of self-billed e-Invoices based on recurring payments or transaction triggers
- 📤 Direct integration with LHDN’s MyInvois API for real-time validation and submission
- 🧾 Custom templates for both single and consolidated self-billed e-Invoices
- 🔐 Secure archiving of validated e-Invoices for audit compliance
- 📊 Dashboard insights for tracking supplier categories and tax reporting
Whether you’re managing affiliate payouts, freelance contracts, or cross-border supplier payments via your WordPress site, KinraSoft ensures your e-Invoice processes are fully automated and tax-compliant—no technical knowledge required.
✅ Final Thoughts
Self-billed e-Invoices are a regulatory must in Malaysia’s e-Invoice rollout. For WordPress users, handling this manually can be tedious—but with KinraSoft, you get seamless integration, compliance, and peace of mind.