IDEAS home Printed from https://ideas.repec.org/a/bcp/journl/v9y2025issue-9p168-174.html

E-invoicing implementation and Its challenges to Small and Medium Size (SME) in Malaysia: A Conceptual Paper

Author

Listed:
  • Nik Balqis Damia Md Asmawi

    (*Faculty of Accountancy, University Technology MARA, Cawangan Selangor, Kampus Puncak Alam, Selangor, Malaysia)

  • Nur Afiqah Md Amin

    (*Faculty of Accountancy, University Technology MARA, Cawangan Selangor, Kampus Puncak Alam, Selangor, Malaysia)

  • Nurul Iffah Ghazali

    (*Faculty of Accountancy, University Technology MARA, Cawangan Selangor, Kampus Puncak Alam, Selangor, Malaysia)

  • Nuridayu Yunus

    (*Faculty of Accountancy, University Technology MARA, Cawangan Selangor, Kampus Puncak Alam, Selangor, Malaysia)

Abstract

This concept paper explores the challenges SMEs encounter in implementing e-invoicing, including limited technological readiness, system integration complexity, data security concerns, and mandatory compliance with new regulatory requirements such as Tax Identification Number (TIN) submissions. Findings from recent studies indicate that SME employees often display skepticism and insecurity toward digital systems, reflecting gaps in infrastructure, training, and regulatory awareness. The paper ends with recommendations, including nationwide training programs, standardized system integration through certified Application Programming Interface (API), strengthened data security compliance with the Personal Data Protection Act (PDPA), and enhanced education for digital platform sellers. These strategies aim to improve SME readiness, foster trust in digital platforms, and ensure smooth compliance ahead of the 2025 enforcement timeline. By addressing structural and behavioral barriers, Malaysia can achieve an inclusive transition toward a resilient digital tax ecosystem that supports both economic growth and global competitiveness.

Suggested Citation

  • Nik Balqis Damia Md Asmawi & Nur Afiqah Md Amin & Nurul Iffah Ghazali & Nuridayu Yunus, 2025. "E-invoicing implementation and Its challenges to Small and Medium Size (SME) in Malaysia: A Conceptual Paper," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(9), pages 168-174, September.
    • Handle: RePEc:bcp:journl:v:9:y:2025:issue-9:p:168-174
    as

    Download full text from publisher

    File URL: https://www.rsisinternational.org/journals/ijriss/Digital-Library/volume-9-issue-9/168-174.pdf
    Download Restriction: no
    File URL: https://rsisinternational.org/journals/ijriss/articles/e-invoicing-implementation-and-its-challenges-to-small-and-medium-size-sme-in-malaysia-a-conceptual-paper/
    Download Restriction: no
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bcp:journl:v:9:y:2025:issue-9:p:168-174. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dr. Pawan Verma (email available below). General contact details of provider: https://rsisinternational.org/journals/ijriss/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.