A valid tax invoice is required to claim input tax

A tax invoice is a business document issued by one registered person to another registered person. A valid Tax invoice issued by a registered person can be identified by 9 (nine) characteristics, i.e. the wordings “Tax Invoice”, name, address and TIN of supplier and recipient of goods and services, invoice number, date of issue, quantity and details of the goods sold or details of the services supplied, value of the goods or services (excluding the amount of tax charged), tax charged on the goods or services and the total value of the goods or services inclusive of tax.

The input tax in relation to goods or services purchased shall not be set-off against the output tax in the event that the taxpayer does not possess a valid tax invoice for the relevant transaction. Input tax (GST paid by a registered person to another registered persons) shall be claimed within 12 months from the end of the taxable period in which the input tax could have first been claimed. If the taxpayer intends to claim input tax he/she should submit an input tax statement together with the GST return.

Where the MIRA conducts an audit of a taxpayer and discovers that the taxpayer has claimed input tax on tax invoices which do not qualify as valid, the MIRA shall disregard any input tax claimed with respect to such invoices. The same treatment shall be followed, where the taxpayer objects to such a decision of the MIRA.