How to Create Self-billed E-Invoice, Debit Note or Credit Note?

The self-billed e-invoice feature allows users to generate invoices on behalf of their foreign or local suppliers who didn't provide the e-invoices to prove their expenses for tax filling purposes.

To comply with LHDN regulations, a prerequisite step that users will need to do before submitting a self-billed e-invoice is set their accounts / items classification to one of the classification codes specifically for self-billing.

Step 1: Define the Classification and Tax Type

If Self-billed E-Invoice is for a Service purchase layout: 

Go to Accounts, click on Accounts List. 

Select the your Expenses or Cost of Sales account that is used, and click Edit. Under the Details tab, click on the

Classification list button to display the whole list of classification codes. Select the code with the description that matches the service then click Ok.

Self-billed purchases are under classification codes 033 - 037. 

Tax Type is the tax category required by LHDN. Select the tax type that match with your purchase expenses account and click OK.

If Self-billed invoice is for an Item purchase layout:

Go to Inventory, click on Items List

Select the item that is used, click on Edit. Under the Item Details tab, click on the

Classification list button to display the whole list of classification codes. Select the code with the description that matches the item or service then click Ok.

Update the Tax Type under Buying Details tab.

Step 2: Submitting bill as Self-billed E-Invoice 

If bill is regular Self-billed E-Invoice

Go to Purchases, click Enter Purchases

Firstly set the layout according to the content of the bill, by clicking on the Layout button below. Fill in the purchase bill record as per usual, selecting the Account / Item that is defined with the Self-billed classification code and Tax Type.

The last step is to select the Self-billed checkbox in the top right of the window and click Record. A pop-up box will prompt to confirm the process of sending the self-billed invoice.

• After clicking Yes to confirm, a pop-up will show to inform that the self-billed invoice has been successfully sent to LHDN.

Step 3: Viewing the validated Self-billed E-Invoice PDF details.

When you successfully sends the Self-billed E-Invoice, the system will prompt to reflect that the sending process has been completed.

Step 4: To view the submission status, go back to Purchases Register and open the transaction. On the top right of the validated Self-billed purchase record, there will be a button called View E-Invoice Detail.

The E-Invoice details pulled from LHDN will be shown in a pop-up which includes the UUID, Date & Time of Validation, Status, and the QR code of the record.

You can click Preview at ABSS Connect, system will open the browser and show the Self-Billed E-Invoice in PDF format.

Step 5: You can always save the self billed E-Invoice in PDF format for your filling purposes.

Create Credit Note or Debit Note Self-billed E-Invoice

If bill is a Credit Note Self-billed E-Invoice:

You need to fill in purchase details as usual, to send the bill as a Credit Note Self-billed E-Invoice, you need to click on Credit Note and Self-billed checkboxes, before clicking Record.

The system will also require you to input the Original Inv Ref. that the Credit Note is for.

If bill is a Debit Note Self-billed E-invoice:

For Item layout bills, you need to input in the Bill field with a negative quantity before continuing to fill in the bill as per usual. When the Bill Field is a negative value, the system will recognize this as Self-billed Debit Note. The system will also require the you to input the Original Inv Ref. that the Debit Note is for.

For Service layout bills, the user needs to input in the Amount field a negative value, the system will recognize this as a Self-billed Debit Note. The system will also require the user to input the Original Inv Ref. that the Debit Note is for.