Employees No Longer Automatically Qualify as Tax Agents, Here Are the Complete Rules

Jakarta, CNBC Indonesia – Finance Minister Purbaya Yudhi Sadewa has updated the provisions on taxpayer representatives, as regulated in Minister of Finance Regulation (PMK) Number 44 of 2026, which replaces PMK Number 229/2014.

Under the latest provisions, effective since 6 July 2026, a significant change concerns the status of taxpayer employees, who can no longer automatically become tax representatives for corporate taxpayers or companies, even if they hold a tax brevet certificate from a specialised institution, a formal tax education diploma of at least Diploma III level from an A-accredited university, or a tax consultant certificate from the Tax Consultant Certification Organising Committee.

Under the old rules, taxpayer employees were specifically included as tax representatives, alongside tax consultants. Such employees could receive authorisation from individual or corporate taxpayers as long as they remained permanent, active employees.

“Those who receive income from the Taxpayer, evidenced by the permanent employee list subject to Article 21 Income Tax withholding in the Article 21 Income Tax Periodic Tax Return that has been reported,” as stated in PMK 229/2014.

Meanwhile, under the latest provisions, the term ‘employee’ has been removed. The parties who may be appointed as taxpayer representatives under the new rules include tax consultants, other parties, and family members.

Other parties who may be appointed by taxpayers as tax representatives must meet requirements as parties deemed to have specific competence in taxation, and must hold a Registration Certificate.

“A Registration Certificate is a letter issued by the Minister of Finance or an appointed official stating that the Other Party may act as a representative,” according to PMK 44/2026.

Nevertheless, the new PMK includes a transitional provision that allows taxpayer employees to continue acting as tax representatives until 31 December 2026.

Article 16 of PMK 44/2026 states that a person other than a Tax Consultant who holds a brevet certificate, or a formal tax education diploma issued by a state or private university with A accreditation, at least at Diploma III level, may still be appointed as a representative until 31 December 2026.

An employee still appointed as a tax representative until the end of the year must prepare a Special Power of Attorney in paper form, attaching a photocopy of the brevet certificate, or a photocopy of the formal tax education diploma issued by a state or private university with A accreditation, at least at Diploma III level.

The Special Power of Attorney must be submitted to the Director General of Taxes directly through the Tax Service Office or the Tax Service, Outreach, and Consultation Office for administration in the Directorate General of Taxes’ system.