While the government anticipates that the implementation of e-Invoicing will have very little impact on the overall total industry volume (TIV) or vehicle sales in Malaysia, TA Securities says that this might not be the case. In a research note published yesterday, the firm said that the system’s implementation is expected to have a “significant impact on car sales” when it is in fully incorporated, as The Edge reports.
“According to our auto analyst, this is when it becomes mandatory for all taxpayers, regardless of their annual turnover or revenue, [to adapt to e-invoicing]. The new system is expected to pose challenges for buyers who may find it difficult to secure the ‘full loan’ amounts previously offered by certain sales agents,” it said.
At present, the first phase of the system, which began on August 1, involves around 3,500 companies with annual revenues of more than RM100 million, with the government handing a six-month grace period to taxpayers to ensure a smooth implementation process. It has been previously pointed out that most vehicle dealership companies do not earn revenue exceeding that amount, so the impact at present is negligible.
The second phase is set to begin in January next year, and will involve companies with annual revenues of between RM25 million and RM100 million, and by July 1, 2025, all other taxpayers are set to utilise e-Invoicing, excluding those with annual turnovers under RM150,000.
When this happens, instances of ‘full loan’ scenarios or ‘inflated’ invoices are set to end, likely to affect those who make vehicle purchases along those lines, although the extent of how it will impact sales figures remains to be seen.
“For the automotive industry, this means a more transparent purchasing process, where inflated invoice practices will be curtailed, potentially affecting how car sales transactions are conducted and financed,” the firm stated. It however added that e-Invoicing will have a limited impact on automotive companies with an in-house vehicle financing arm.
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Saving “full loan” people from financial ruins sounds like a good idea to me
TA is saying many taking
Extra hidden discount
Taking full loans
save millions of people from bad financial debt is better than saving a few cronies companies trying to make money.
don’t worry the e invoice system will bring down the current government and with them gone e invoicing will be gone as well
Spare the rod, spoil the child.
Try to move the country forward by reducing corrupt practices, lose the election. Other parent give give give, bring up a spoilt, entitled and all round useless child.
Neighbour’s children (SG) brought up right, Top 5 richest country in the world.
E-invoice will be here to stay whether you like it or not. For a start, there should be no full loan. Buy only when you can afford it. Loan should not more than 5 years. Max 7 years for gov folks. It’s a car, not an investment. Don’t waste your money on buying the latest and greatest, especially EV. Jgn syok sendiri!