E-Commerce Tax Postponed, Purbaya Explains the Reasons

Finance Minister Purbaya Yudhi Sadewa has stated that the government has postponed the imposition of a tax on e-commerce, or online shops, which was previously scheduled to take effect on 1 August 2026. He explained that the decision was made after considering the economic conditions and public purchasing power, which are expected to improve in the future. Regarding how long the postponement will last, Purbaya said it would likely be for several months, as a number of current economic indicators are still not strong enough to implement the e-commerce tax. “So, if there are indications that the economy is truly improving, we will re-implement the e-commerce tax. We may postpone it for a few months,” Purbaya said at the Ministry of Finance in Jakarta on Wednesday, 5 August 2026. When asked whether the postponement was related to the second quarter of 2026 economic growth figure of just 5.29 percent, Purbaya did not deny it. However, he explained that economic growth was not the sole reason behind the delay, as other variables were also considered before applying the e-commerce tax. “It is not just about the GDP figure. We are also looking at other variables such as consumer confidence, retail purchases, and so on. That is why we will see later,” Purbaya stated. He confirmed that a Minister of Finance Regulation would be prepared as the legal basis for the postponement. When asked about the fate of e-commerce sellers who had already paid the tax since 1 August 2026, Purbaya assured that a separate mechanism would be established to arrange the refund of those funds. Nevertheless, Purbaya stressed that the postponement of the e-commerce tax only applies to domestic activities. For overseas sales, PT Jalin Pembayaran Nusantara will still implement the Tax Collection System for Overseas Digital Transactions.