Indonesia Pushes 0.5% Platform-Withheld Seller Tax to 2026

Indonesia’s Ministry of Finance has postponed its new Indonesia e-commerce tax framework for marketplace sellers to February 2026, moving the start date back from 2025. The deferral applies to platforms such as Shopee and Tokopedia and is intended to raise seller income tax compliance without undermining consumer purchasing power.

Although the technical systems are already in place, the government opted to delay rollout after the July announcement drew debate. Officials said the pause allows implementation to begin under more stable economic conditions.

Under the regulation formally published on July 14 in a Minister of Finance Regulation (PMK), marketplace sellers will be subject to a 0.5% platform withholding on their annual gross turnover as income tax (PPh). This levy is separate from value-added tax (PPN) and the luxury goods sales tax (PPnBM). Marketplaces—including Shopee and Tokopedia—will act as withholding agents, deducting and remitting the income tax on behalf of sellers.

The Ministry of Finance emphasized that the measure is not designed to deliver a short-term revenue surge. Its primary goals are to improve seller income tax compliance, broaden the tax base, and simplify filings through 0.5% platform withholding. Policymakers describe the framework as a digital upgrade to existing offline tax practices rather than a brand-new tax.

Practically, taxes that sellers previously calculated and filed themselves will be withheld and paid by the platforms. For small and medium-sized merchants, this should reduce filing errors and administrative workload while standardizing the process across the e-commerce ecosystem.

By pushing the start date to 2026, the government is signaling a balance between growth and reform. Authorities want to expand compliance via a modern Indonesia e-commerce tax mechanism, but not at the expense of fragile consumer sentiment during recovery.

In the coming months, Indonesia will continue to monitor macroeconomic conditions and industry feedback before confirming the policy’s go-live in February 2026. For cross-border merchants planning inventory flows into or out of Indonesia, working with an experienced logistics partner can help align tax timelines with supply chain decisions. Forest Shipping, a global freight forwarder, supports sellers with door-to-door solutions and customs coordination so you can focus on sales while staying prepared for regulatory changes.

Indonesia's Indonesia e-commerce tax reform—centered on 0.5% platform withholding—is now slated for 2026, prioritizing stability and higher seller income tax compliance over immediate revenue. As you plan sourcing and delivery for Southeast Asia, Forest Shipping’s freight forwarding services can help streamline routes and reduce operational risk.