The Inland Revenue Authority of Singapore (IRAS) announced on 15 April, 2024, the adoption of InvoiceNow, a system for transmitting invoice data directly to IRAS.

This will become mandatory for GST-registered businesses through phases. Starting 1 November, 2025, newly incorporated companies that voluntarily register for GST must use InvoiceNow. From 1 April, 2026, all new voluntary GST-registrants must comply, regardless of incorporation date. From 1 May, 2025, a soft launch will allow existing GST-registered businesses to adopt InvoiceNow solutions voluntarily.

InvoiceNow, based on the international Peppol standard, was introduced by the Infocomm Media Development Authority (IMDA) in 2019. It enables businesses to send and receive invoices digitally, reducing manual processing and errors.

Using InvoiceNow will streamline processes, reduce errors and costs, and improve cash flow management. It will also aid in compliance and potentially reduce the frequency and duration of GST audits.

IMDA will list approved InvoiceNow solutions by May, 2025, and offer grants such as the LEAD Connect & Transact Grant and InvoiceNow Transaction Bonus to help businesses with adoption costs.

In order to adopt the new system business must ensure that their accounting solution is InvoiceNow-enabled; register for InvoiceNow and obtain Peppol ID; connect InvoiceNow solution to IRAS via API; and activate the feature to start transmitting invoice data to IRAS.

Overseas entities and businesses under the Reverse Charge regime will be exempted from using the system. Further details will be provided closer to the soft launch in May, 2025.