How should the tenant substantiate its payment of utility expenses if the utility bills are issued in the landlord’s name?

Where the tenant cannot request for the utility bills to be issued in their name, the treatment depends on whether the landlord is conducting a business:

- If the landlord is conducting a business (e.g., renting multiple properties as a business), the landlord must issue an e-Invoice to the tenant for the utility expenses. The tenant can use this e-Invoice to substantiate the payment.

- If the landlord is not conducting a business (e.g., renting a single property occasionally), the tenant must issue a self-billed e-Invoice for the utilities paid to properly record the expense.

Example:

ABC Sdn Bhd rents a commercial unit from Mr. Lim, who runs multiple rental properties → Mr. Lim issues an e-Invoice for electricity and water to ABC Sdn Bhd.

XYZ Sdn Bhd rents a single apartment from Mrs. Wong, who is not a business owner → XYZ Sdn Bhd issues a self-billed e-Invoice for the utilities paid.