E-invoice 2025: When Should I Use Consolidated E-invoice?

Since January 2025, the Malaysian government has initiated Phase 2 of e-invoicing implementation, which is targeted at mid-sized businesses with turnover between RM25mil and RM100mil.

This development cements e-invoicing’s role as a crucial part of business operations in Malaysia, but many business owners are still unsure about the correct way to issue them. One of the most common questions is:

“Do I need to issue an e-invoice for every transaction? That seems like a hassle. Can I just issue a consolidated e-invoice instead?”

While consolidated e-invoices can simplify invoicing in certain situations, not all businesses can use them. Understanding when and how to issue a consolidated e-invoice is essential to ensure compliance with tax regulations.

In this guide, we’ll answer key questions about consolidated e-invoices, including:
📌 Which industries are not allowed to issue consolidated e-invoices?
📌 What information must be included in a consolidated e-invoice?
📌 When is it necessary to issue a consolidated e-invoice?

Best Tips for Using Consolidated E-Invoices

1. Can my clinic issue a consolidated e-invoice?

Yes, your clinic can issue a Consolidated E-Invoice. Only a few industries are restricted from using consolidated e-invoices, including automotive, aviation, luxury goods, construction, and wholesale or retail of construction materials. Since healthcare services, including clinics, do not fall under these categories, you are allowed to issue consolidated e-invoices.

2. How do I fill out a consolidated e-invoice?

When completing a consolidated e-Invoice, enter the invoice numbers in the description column and the total invoice amount in the unit price column. This ensures proper documentation while satisfying LHDN requirements.

*See video below for visual explanation*

3. When should I use a consolidated e-invoice?

You should issue a regular e-invoice whenever a customer or client requests one. However, if no request is made, you can submit a consolidated e-invoice which also needs to be supported by the normal invoice. This allows you to streamline multiple transactions into a single document while remaining compliant.

4. What if I receive an anonymous donation?

If you receive an unexpected sum of money in your bank account from an unknown sender, the best practice is to issue a Consolidated E-Invoice. This type of e-invoice does not require detailed recipient information, making it the appropriate choice for such cases.

However, it is highly recommended to check the source of the anonymous donation before issuing the consolidated e-invoice to be safe.