Strava Speaks Out After Being Appointed by Tax Office to Collect Digital VAT

Jakarta, CNBC Indonesia - Digital fitness platform Strava has confirmed it will not raise subscription prices for users in Indonesia, despite being appointed by the government as a collector of Value Added Tax (VAT) on electronic system trade (PMSE). A Strava spokesperson said the company will adapt to the new policy announced by the Directorate General of Taxes at the Ministry of Finance. However, the additional costs resulting from the VAT implementation will be borne directly by Strava. “Therefore, we plan to adapt to this new policy by directly absorbing the additional costs arising from the VAT implementation. There will be no increase in Strava subscription prices, and our free services will also remain unchanged,” the Strava spokesperson said in an official statement received by CNBC Indonesia on Wednesday. Strava stated it understands its role in connecting the sports community in Indonesia. According to the company, the decision to absorb the VAT costs is part of its commitment to supporting the Indonesian people in staying active and leading a healthy lifestyle. “We believe this step is the best way to support our mission of helping people in Indonesia live more active and healthy lives across the country,” the statement said. Previously, the Directorate General of Taxes officially appointed seven new entities as PMSE VAT collectors. Besides Strava, the appointed entities include Envato Pty Ltd, Envato Elements Pty Ltd, The Nielsen Norman Group, Inc., Kling AI Pte. Ltd., Law School Admission Council, Inc., and PLAUD LLC. Director of Counselling, Services, and Public Relations at the Directorate General of Taxes, Inge Diana Rismawanti, said these seven entities operate in various digital economy sectors, ranging from fitness services, digital content, education, to artificial intelligence (AI). Inge stated that the increasing diversity of companies appointed as PMSE VAT collectors reflects the expanding scope of digital tax collection in line with the development of digital business models. “The inclusion of AI service providers and various other digital services in the list of PMSE VAT collectors reflects the increasingly diverse range of digital services utilised by the public,” Inge said in a press release. She also revealed that as of 31 May 2026, a total of 233 PMSE entities had collected and remitted PMSE VAT, with total receipts reaching IDR 40.55 trillion.