Four Marketplaces in Indonesia to Start Withholding Seller Tax From October 1
Tokopedia, Shopee, Lazada, and Blibli are preparing to start withholding income tax from sellers on October 1, 2026. The plan was announced by Bimo Wijayanto, Director General of Indonesia's Directorate General of Taxes (DJP). According to him, both the platforms and the tax authority are technically ready to launch. This was reported by Detik Finance on September 16.
The mechanism was originally scheduled to start on August 1, but the timeline was revised. Bimo explained that testing of the system together with the marketplaces has been underway since last year, and the extra time was used to prepare for the rollout.
The legal basis for the mechanism is PMK 37/2025, which governs income tax collection in e-commerce. Appointed marketplaces must withhold PPh Pasal 22 from sellers' income, remit it to the state budget, and file the corresponding reports. The tax authority explains that the withheld amounts can either be credited against the seller's tax liability or counted as part of the final PPh Final tax payment, depending on the regime applied. Official DJP clarification.
Sellers should prepare for the change in how payments are calculated before the end of September. If a business falls under the withholding rule, part of its revenue will be directed to tax payment through the platform. This should be factored into planning for procurement, supplier payments, and other current expenses.
Together with your accountant, we recommend that you:
check marketplace notifications about the withholding start date;
confirm whether the mechanism applies to your business and any grounds for exemption;
verify your tax data and the documents required in your seller account;
set up accounting for withheld amounts and revise your cash flow forecast.
Legal Indonesia can help review your business's tax obligations, prepare documents, and correctly reflect the withholding in your accounting and tax records.
