PMSE VAT

https://epajak.or.id/ PMSE VAT must now be reported periodically , PMSE VAT, or Value Added Tax on Trading Through Electronic Systems, is a form of tax that is now required to be reported by digital businesses every tax period.

This policy is implemented to accommodate the rapid growth of digital transactions in Indonesia, while ensuring that every transaction that occurs contributes to state revenue.

What is VAT PMSE?

PMSE VAT is a tax imposed on the consumption of digital goods and services obtained through digital platforms, both domestically and abroad. Goods and services included in PMSE include:

• Digital goods such as e-books, music, films, and apps.
• Digital services such as streaming services, cloud storage, and online courses.
• This VAT imposition applies to digital platforms that have been appointed by the Directorate General of Taxes (DGT) as tax collectors. The platform is obliged to collect, remit, and report VAT on transactions made.

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PMSE VAT Reporting Policy Based on PMK 81

As the party in charge of collecting Value Added Tax (VAT), business actors who run trading through electronic systems (PMSE) are required to report the VAT that has been collected. Based on Minister of Finance Regulation Number 81 Year 2024 (PMK 81/2024), this reporting obligation must be carried out in each reporting period.

Article 399 paragraph (1) of the PMK reads ‘Other Parties are obliged to report Value Added Tax that has been collected as referred to in Article 332 paragraph (3) and paragraph (4), and that has been deposited as referred to in Article 338 paragraph (1), for each Tax Period, no later than the end of the following month after the Tax Period ends, using the Periodic Value Added Tax Return’.

This new provision has significant differences compared to the previous regulation. Previously, Value Added Tax (VAT) reporting on Trading Through Electronic Systems (PMSE) was regulated in Article 9 paragraph (1) of Minister of Finance Regulation Number 60/PMK.03/2022. The regulation stipulates that PMSE VAT reporting by collectors is conducted quarterly, covering three tax periods, with a reporting deadline of the end of the month after the quarterly period ends.

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PMSE VAT reporting is carried out through the Periodic VAT Return (SPT). For this type of tax, the Periodic VAT Return has several data elements that must be reported, including:

• The number of users or parties utilising goods and/or services;
• The amount of transaction payments made, excluding VAT collected;
• The amount of VAT that has been collected; and
• Details of transactions related to VAT collected.
• Also Read: In 2025, Home VAT Discount Will Apply Again

Parties Involved in PMSE VAT Transactions
A PMSE is a business entity that provides electronic communication facilities used to support trade transactions. In this context, the parties involved in trading through electronic systems include:

• Business Actors
• Consumers
• Individuals
• State Organising Agencies in accordance with the provisions of laws and regulations, collectively referred to as ‘the parties.’
• E-Commerce is also considered a private legal relationship that can be conducted in various combinations, namely:

• Business with Business Actors (B2B)
• Business with Consumer (B2C)
• Individuals with Individuals (C2C) in accordance with the applicable regulations
• State Organising Agencies with Business Actors, as stipulated in the relevant legislation
• Business Actors Included in PMSE VAT
• In the PMSE VAT scheme, business actors who must comply with tax provisions include:

Domestic and/or Foreign Trade Business Actors

Organisers of Trading Through Electronic Systems (PPMSE) both domestically and abroad
Intermediary Facility Organisers, both domestic and foreign.

This provision confirms that there is no difference in the treatment of tax obligations between domestic and foreign business actors in the context of trading through electronic systems. All parties have equal obligations in accordance with applicable regulations, thus creating a fair and consistent taxation system.

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