Indonesia targets 30 banks and fintech firms for digital VAT collection
Formal appointments will depend on whether the institutions have the systems and infrastructure ready, tax chief Bimo Wijayanto said.
Indonesia’s Directorate General of Taxes is seeking to appoint 30 banks and financial technology companies to collect value-added tax (VAT) on overseas digital transactions. Tax director-general Bimo Wijayanto said the institutions had been given until November to prepare, with appointments conditional on their readiness.
In remarks reported on 15 October 2026, Bimo said he had met the prospective participants to discuss their systems and infrastructure. The SPP-TDLN collection mechanism currently involves five banking platforms and one fintech platform.
The existing collectors are Bank Rakyat Indonesia, Bank Mandiri, Bank Negara Indonesia, Bank Tabungan Negara, Bank Syariah Indonesia and PT Fintek Karya Nusantara, which operates LinkAja.
The tax directorate recorded 5.5 million transactions through those six collectors between 25 September 2026 and 11 October 2026, with a potential value of Rp10 trillion. The reported figure was based on an 11 per cent VAT rate on the goods and services transactions. Bimo cautioned that the system remained in a stabilisation period and that officials would wait for all platforms to join before estimating its potential.
The directorate has also sought help from Bank Indonesia and the Financial Services Authority to encourage participation by banks, fintech firms, Mastercard and Visa.
SPP-TDLN does not introduce a new tax or alter the VAT rate. It covers Indonesian consumers’ use of overseas digital goods and services where VAT has not already been collected through the electronic commerce VAT mechanism, avoiding duplicate collection on the same transaction.
