Indonesia has delayed the rollout of a 0.5% income tax collection scheme for domestic sellers on e-commerce platforms until 1 November 2026.
The policy had been due to take effect this month.
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“This postponement was implemented as an effort to maintain public purchasing power amid economic conditions that remain a focus of the government,” the country’s tax office as saying in a statement.
The move marks the second delay to the plan. Indonesia had first aimed to introduce the scheme in 2025, before pushing it back to this year after complaints from sellers and online platforms.
The latest postponement follows recent comments from finance minister Purbaya Yudhi Sadewa, who said the government wanted to hold off on collecting income tax from marketplace sellers to support consumer spending and economic growth.
Indonesia plans to delay the collection “until people’s purchasing power gets better”, Purbaya said at a press conference.
He did not give a timeframe or further details.
Under the earlier arrangement, four large online marketplaces had been designated as tax collectors: Tokopedia, controlled by ByteDance’s TikTok and partly owned by GoTo, Indonesia’s largest technology company; Sea Limited’s Shopee; Lazada, which is backed by Alibaba; and Blibli.
According to the tax office, those appointments will now be revoked, with the selection process to be reopened at a later date.
The tax office said the selection of marketplace tax collectors will be reissued at a later stage.
Indonesia’s e-commerce industry association idEA said the marketplaces had been preparing for the system so that the collection process could run more smoothly when it is eventually introduced.
