JOHOR BAHRU: The government is open to reviewing the Inland Revenue Board’s (IRB) e-Invoicing implementation to ensure that small businesses are not unduly burdened, said Prime Minister Datuk Seri Anwar Ibrahim.
“We will look into it because e-Invoicing is very important to prevent leakages and revenue loss. But for small companies, it can be quite burdensome. So, God willing, we will make improvements so that it does not become a burden,” he said during the closing of his policy speech at PKR’s national congress on Saturday.
The e-Invoicing initiative was launched in August 2024 for companies with an annual turnover exceeding RM100 million. It expanded on Jan 1 this year to businesses earning between RM25 million and RM100 million. The third phase, beginning July 1, will cover all businesses, including micro, small, and medium enterprises (MSMEs).
Anwar, who also serves as finance minister, said Malaysia is one of the most generous nations in terms of subsidies.
“For example, with the [adjustment of electricity tariffs], 85% of users are not affected, but our explanation was lacking. As for gas subsidies, that’s valid — some small companies and others are still struggling even with available support. This is another area we’ll review,” he said.
On petrol subsidies, Anwar reiterated that the government does not support raising fuel prices and aims to maintain subsidies for Malaysians, while removing them for foreigners.
“The Cabinet and I do not agree with raising fuel prices. Prices can be lowered gradually depending on market conditions. However, fuel subsidies must be removed for foreigners — we have 3.5 to 4 million foreigners in Malaysia benefiting from them,” he said, adding that no other country provides fuel subsidies for foreigners or the wealthy.
Anwar assured Malaysians that the government’s subsidy rationalisation will not affect citizens.
He also shared results from an IDE Research Centre study showing increased support for the unity government among civil servants.
“The study found that among the 1.4 million civil servants — mostly Malays — there is a clear shift in support. This is encouraging and shows civil servants are now more confident in the government,” he said.
Anwar attributed this shift to the implementation of the Public Service Remuneration System (SSPA), which replaced the Malaysian Remuneration System (SSM) in December 2024. He said the new system has positively impacted civil service performance and morale.
