SHR-115     LHDN E-Invoice Audit Framework - Risk Areas, Red Flags & Prevention

  • Overview
  • Course Objectives
  • Course Content
  • For Whom
  • Schedule and Hours
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The implementation of e-Invoice in Malaysia has progressed from system adoption to active enforcement and compliance monitoring by Lembaga Hasil Dalam Negeri Malaysia (LHDN). Under the e-Invoice Compliance Review Framework, businesses may face structured audit reviews covering up to two Years of Assessment, with prosecution risks extending up to twelve years.

While many organisations have operationalised e-Invoice, uncertainties remain regarding audit expectations, documentation standards, and potential penalty exposure. This programme bridges that gap by providing clarity on the legal framework, audit scope, officer powers, compliance procedures, and risk implications.

Participants will review key e-Invoice fundamentals before exploring audit processes, common non-compliance scenarios, penalty structures, voluntary disclosure options, and objection mechanisms. The course concludes with practical audit-readiness strategies to strengthen internal controls and prepare confidently for an LHDN compliance review.
At the end of this course, participants shall be able to：
  • Explain  the  key  concepts,  transaction  types,  and  implementation requirements of e-Invoice, including standard, consolidated, and self-billed e-Invoices.
  • Interpret the LHDN e-Invoice Compliance Review Framework, including its legal  basis, scope of audit, years of  assessment coverage, and prosecution exposure.
  • Describe  the  audit  process  and  procedures  undertaken  by  LHDN, including  notification,  compliance  visits,  officer  powers,  document review, and case resolution timelines.
  • Identify and evaluate common e-Invoice non-compliance scenarios and  assess  potential  financial  exposure  based  on  per-transaction penalty provisions.
  • Apply appropriate risk mitigation strategies, including voluntary,  disclosure procedures, objection mechanisms, and compound payment processes
  • Develop an internal audit readiness approach by understanding the rights  and  responsibilities  of  taxpayers,  compliance  officers,  and registered tax agents, and strengthening internal compliance controls.
  • Module 1: Key Highlights of E-Invoice (Quick Revisions)​
  • Module 2: Legal Framework & Audit Scope
  • Session 3: LHDN Audit Process & Review Procedures
  • Session 4: Non-Compliance Exposure & Penalty Risk
  • Session 5: Rights, Responsibilities & Audit Readiness
  • Finance Department
  • Accounting Department
  • Taxation Department
  • Compliance Officers
  • IT Department
  • E-Invoice Service Provider
  • Software Developer and Organization
  • Business Owners
  • Procurement Department
  • Supply Chain Department
  • Auditors
  • Legal Counsel
This is a 1-day programme.
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This course runs from 9:00am – 5:00pm with an hour for lunch and periodic short breaks.
 
This is an intensive session designed to include as much discussion as possible. Lunch and breaks provide an opportunity for further questioning and discussion with the instructors.

We are HRD Corp (Human Resource Development Corporation) Registered Training Provider.
​All of our training modules are claimable under HRD Corp.