Putrajaya: The government’s decision to increase the e-invoice exemption threshold from RM500,000 to RM1 million starting in 2026 aims to alleviate compliance costs and administrative burdens for micro, small, and medium enterprises (MSMEs).

According to BERNAMA News Agency, the Associated Chinese Chambers of Commerce and Industry of Malaysia (ACCCIM) has expressed support for the revised regulatory and tax measures, which are designed to reduce the financial strain on MSMEs in a challenging business environment. The ACCCIM highlighted that these adjustments reflect the government’s pragmatic approach to economic policy, considering the potential impact on businesses.

The association also noted that doubling the tax refund allocation from RM2 billion to RM4 billion would aid businesses facing delayed payments and improve their cash flow. However, ACCCIM emphasized the need for faster processing timelines and enhanced compensation mechanisms to ensure timely tax returns.

Additionally, the association prai
sed the government’s initiative to implement a two-year moratorium without enforcement or penalties on job vacancy reporting under the amendments to the Social Security Organisation. There are also plans to exempt SMEs from mandatory job vacancy reporting, contingent upon the outcome of stakeholder consultations.

ACCCIM acknowledged the importance of thorough stakeholder consultations before enforcing mandatory job vacancy reporting. The association stressed that the success of such reporting depends on balancing the benefits of a transparent labor market with the businesses’ need for operational flexibility and minimal compliance burdens.

The association expressed optimism that these policy adjustments represent a significant step by the government towards safeguarding SMEs’ interests, allowing them to stabilize operations, invest in growth, and contribute more effectively to Malaysia’s economic recovery and long-term development.