Why This Glossary Matters
Navigating the world of business finance in Malaysia can be confusing. With the introduction of LHDN e-Invoicing, Peppol standards, and evolving SST regulations, staying compliant requires understanding the language of modern accounting.
This glossary is designed for Malaysian business owners, accountants, and administrators. We've broken down complex technical jargon into simple, actionable definitions to help you make better software decisions and keep your business compliant.
How to Use This Guide
- Scan for Terms: Use the list below to find specific terms you've encountered.
- Understand the Context: Read the "Why it matters" section to see how the term applies to your daily operations.
- Take Action: Use the links to find software that supports these features.
A certified gateway that allows businesses to send and receive e-invoices through the secure Peppol network. It acts as a digital postman, ensuring invoices are formatted correctly and delivered instantly to the recipient's system.
The official digital platform developed by the Inland Revenue Board of Malaysia (LHDN) to collect and validate e-invoices. Businesses must transmit invoice data to MyInvois for validation before sending it to customers.
Accounting software that is hosted on remote servers and accessed via the internet, rather than installed locally on a computer. It allows real-time access from any device and automatic data backups.
The return form used by Malaysian businesses to declare Sales and Service Tax (SST) to the Royal Malaysian Customs Department. It must be submitted every two months.
A feature that tracks stock levels across multiple physical locations (warehouses, branches, retail outlets) within a single system. It provides visibility into stock movement and availability per site.
The use of artificial intelligence to automatically match bank statement lines with accounting transactions. The system learns from past matches to predict future ones with high accuracy.
Application Programming Interface (API) integration allows different software systems to talk to each other. For example, connecting your accounting software to your e-commerce store or POS system.
A software licensing model where access to the software is provided on a subscription basis. Users pay a monthly or annual fee to use the software, which is hosted by the provider.
The process where LHDN verifies the details of an e-invoice (TIN, formatting, mandatory fields) before issuing a Unique Identifier Number (UIN).
A monthly e-invoice that aggregates multiple B2C transactions into a single submission to LHDN. This is allowed for businesses issuing receipts to non-business consumers.
Ready to simplify your accounting?
Choose a software that handles all these complex terms for you automatically.
View Our Top RecommendationDavid Cheah
Senior Financial Systems AnalystDavid is a chartered accountant (MIA) with over 15 years of experience in Malaysian SME financial systems. He specializes in digital transformation, e-Invoice compliance, and cloud accounting migration. His independent reviews help businesses navigate the complex landscape of accounting software in Malaysia.