Tax Office assures marketplace tax will not trigger product price hikes

The Directorate General of Taxes (DJP) has assured that the implementation of the marketplace tax will not affect the increase in product prices sold on e-commerce platforms. This is because the policy does not introduce a new type of tax, but merely changes the mechanism for collecting it from sellers to the marketplace.

“Consumers should not be affected. Neither should prices, because this is the obligation of the sellers. What might be affected is the seller because their income tax is deducted directly. Actually, the amount has always been the same, but previously the tax was self-deposited, now it is collected by the marketplace,” said DJP Director of Extension, Services, and Public Relations Inge Diana Rismawanti in Jakarta on Monday.

The provisions regarding tax collection by marketplaces are regulated in Minister of Finance Regulation (PMK) Number 37 of 2025. Through this regulation, marketplaces are appointed as collectors of Income Tax (PPh) Article 22 at a rate of 0.5 percent of the seller’s gross turnover.

The mechanism involves consumers making payments through the marketplace. Subsequently, the marketplace collects PPh Article 22 on the seller’s income, issues a collection receipt, deposits the tax into the state treasury, and reports it via the Unified Periodic Tax Return.

However, this collection obligation only applies to sellers with an annual turnover exceeding Rp500 million. Inge reiterated that the policy’s implementation should not be used as a reason for sellers or marketplaces to increase product prices.

“After we announced this, our intention was indeed education. We have spoken with the associations, starting with the marketplace association itself, idEA, that they should not add any other fees. Then we also spoke to the sellers. So, there should be no issue here regarding price increases due to tax deductions,” she stated.

The DJP continues to conduct outreach with various associations, including the Indonesian E-Commerce Association (idEA) and the Indonesian Employers’ Association (Apindo), to enhance understanding of the policy among business actors and the public. Currently, the DJP has appointed four marketplace companies as collectors of Income Tax Article 22, namely Tokopedia, Shopee, Lazada, and Blibli.

This appointment takes effect from 1 July 2026. However, the government is providing a one-month transition period, meaning the tax collection obligation will be effectively implemented starting 1 August 2026.