DHP Radio, Indonesia – Indonesia might soon require e-commerce platforms like Shopee, Tokopedia, and TikTok Shop to collect taxes on behalf of small sellers. The plan? A 0.5% tax on sales revenue.
If passed, this means sellers earning between USD 30,000 and USD 290,000 annually will have taxes deducted before the money even hits their wallets. Platforms will act as tax agents for the government.
E-commerce giants are pushing back. They warn it could drive sellers away, increase admin costs, and worsen technical issues already plaguing Indonesia’s new tax system launched earlier this year.
The government scrapped a similar plan in 2018 after industry backlash. But with revenues down 11.4% this year, Jakarta is ready to try again. Announcement could drop as early as next month.
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