e-Invoice Phase 4: the relaxation period is ending — what actually changes?

Phase 4 covers businesses with RM1–5 million turnover and became mandatory on 1 January 2026, with a six-month relaxation window that closes around mid-2026. Once it closes, individual validated e-invoices are expected on request and full compliance applies. Penalties run from RM200 to RM20,000 per non-compliant invoice. Two things that still cause confusion: the permanent exemption threshold was raised to RM1 million on 6 December 2025, and the planned RM150k–500k phase was cancelled. Plenty of businesses still do not know whether they are in scope.