Indonesia E-Commerce Tax 2025: New PPh Thresholds | Logiframe

Who Will Be Appointed as a PPh 22 Collector?

An e-commerce marketplace, whether located inside or outside Indonesia, that uses escrow accounts to hold sellers’ income will be appointed as a PPh 22 Collector if they meet any one of these thresholds:

• Transaction value with Indonesian customers exceeds IDR 600 million in 12 months, or IDR 50 million in one month; or

• Platform access from Indonesia exceeds 12,000 users in 12 months, or 1,000 users in one month.

Once the thresholds are met, the DGT will issue an Appointment Decision, and PPh 22 collection will begin the following month.

The DGT may revoke the appointment if:

• The marketplace no longer meets the thresholds; or
• Other considerations apply under the DGT’s discretion.
  

Revocation takes effect on the date stated in the Revocation Decision.

Practical Implications for Businesses

For E-Commerce Marketplaces:

• System Readiness: Platforms must update systems to handle tax collection, remittance, and reporting accurately.
  

• ERP Integration: Integration with accounting systems (such as Xero or NetSuite) can help automate compliance.

Example Scenarios

• A marketplace records IDR 70 million in monthly sales with Indonesian customers → It qualifies as a PPh 22 collector.

• A platform gains 1,200 monthly users from Indonesia → It qualifies immediately as well.
  

These thresholds are not limited to large international platforms — local e-commerce businesses can also be affected.

How Logiframe Can Help

At Logiframe, we understand the challenges of adapting to new tax rules in Indonesia’s fast-changing regulatory environment. We offer:

• Tax outsourcing and compliance services to ensure marketplaces and sellers remain compliant.

• Advisory services for e-commerce companies integrating Article 22 compliance into their operations.

• ERP implementation and automation with Xero and NetSuite to reduce manual effort and compliance risks.