Starting in 2025, Singapore’s GST-registered businesses will be required to adopt the InvoiceNow e-invoicing system to transmit invoice data directly to the Inland Revenue Authority of Singapore (IRAS). This new mandate is part of a broader digital transformation effort to streamline tax administration and improve record-keeping practices.
InvoiceNow is Singapore's nationwide e-invoicing network, based on the international Peppol standard. Launched in 2019 by the Infocomm Media Development Authority (IMDA), it enables businesses to send and receive invoices in a structured digital format. This eliminates the need for manual invoicing and reduces errors, ultimately making the invoicing process faster and more efficient.
To give businesses sufficient time to prepare, the GST InvoiceNow Requirement will be rolled out in phases:
From 1 November 2025: Newly incorporated companies that voluntarily register for GST will need to transmit invoices using InvoiceNow.
From 1 April 2026: All new voluntary GST registrants will be required to adopt the system, regardless of their incorporation date.
Additionally, a soft launch on 1 May 2025 will allow existing GST-registered businesses to begin early adoption of InvoiceNow, providing an opportunity to familiarize themselves with the system ahead of the mandatory deadlines.
Beyond compliance, there are several advantages to adopting the InvoiceNow system:
Efficiency: Businesses can transmit invoices digitally, minimising manual processes and reducing the likelihood of errors.
Cost Savings: Automation reduces labour costs associated with invoicing and invoice management.
Improved Cashflow: Faster invoiceprocessing can lead to quicker payments, helping businesses manage their cashflow more effectively.
Streamlined Audits: IRAS will be able to analyse invoice data more efficiently, potentially reducing the frequency and duration of GST audits for compliant businesses.
To help businesses ease into this transition, IMDA offers a variety of grants, such as the LEAD Connect & Transact Grant and the InvoiceNow Transaction Bonus. Businesses are encouraged to explore these funding options and ensure that they are ready for the phased adoption of InvoiceNow.
At Alpadis, we recommend businesses take early action to ensure a smooth transition by exploring InvoiceNow solutions that integrate seamlessly with their existing accounting systems. By doing so, businesses can stay ahead of the curve, benefit from operational efficiencies, and ensure compliance with the latest tax administration requirements in Singapore.
Stay tuned for more updates as further details regarding the full implementation of the GST InvoiceNow Requirement are announced by IRAS.
For more information, contact Alpadis.
