KOTA KINABALU: Putrajaya should reconsider implementing the e-invoice system in Sabah as many parts of the state lack Internet connectivity and technological advancement, says a Parti Warisan leader.

Its vice-president Datuk Junz Wong said rolling out the system in the state would only burden ordinary folk, who had distinct challenges and conditions compared with those in Peninsular Malaysia.

He said there is a significant number of small business operators in Sabah, particularly rural villagers and the elderly, who are not only unfamiliar with but also lack access to the necessary technical support.

“To implement a system that assumes equal technological advancement across all regions is impractical and unfair,” he said in a statement yesterday, adding that Sabah is at least 15 to 20 years behind the peninsula in terms of advancement.

According to Wong, from his interactions with local vendors, many are unable to use basic features on smartphones, let alone manage an e-invoicing system.

“Why impose a system that adds layers of complexity and cost to our small business operators, who are barely making ends meet?

“No to this e-invoice system. It is not the time yet. Not for Sabah,” said the former state minister, adding that the priority is to eradicate extreme poverty in Sabah before imposing technological mandates that the community is unprepared for.

All businesses in the country are required to switch to the e-invoicing system by July next year.

Ahead of its full rollout, the Inland Revenue Board will launch free software to help businesses, both big and small, ease into the system.

Wong also urged the Sabah government to speak out against the implementation of e-invoicing in the state.

“The Gabungan Rakyat Sabah-led state government must reject this e-invoice policy that fails to account for our local context and pushes our small businesses into even greater hardship,” he said.

https://www.thestar.com.my/news/nation/2024/07/06/sabah-not-ready-for-e-invoicing-says-warisan-man