Indonesia Value Added Tax (VAT) FAQ

Indonesia VAT collection on remote services provided to Indonesian residents

Subject to certain conditions, the Indonesian government requires non-resident companies providing “remote services” to collect Indonesian VAT at a rate of 10% on these services when they are provided to Indonesian residents who are not registered for VAT. In this context, remote services provided by Amazon include Selling on Amazon fees (listing/referral services), Advertising fees, and monthly subscription fees.

Should you want Amazon to include your Indonesian VAT registration number on your tax invoices, we ask that you provide your Indonesian VAT registration number on Seller Central.

To provide Amazon with your Indonesian VAT registration number:

1. In Seller Central, select Settings, and then click Account Info.
2. In the Tax Information section, click VAT information.
3. From the list of countries, select Indonesia.
4. Add your 15-digit VAT registration number, i.e. ST.sss.sss.C-OOO.BBB.
5. Click I accept and acknowledge all conditions set out in the Tax registration agreement.
6. Click Save.

To learn more about this regulation, refer to the Indonesian Tax Office website.

How does Indonesian VAT apply to my seller account?

If you are a resident of Indonesia, Selling on Amazon fees (listing/referral services), Advertising fees, and monthly subscription fees charged to your seller account are subject to Indonesian VAT at a rate of 10%.

I am no longer a resident of Indonesia, and I have updated my information to reflect my current address. Can Amazon refund Indonesian VAT that was previously charged on my seller account?

Amazon is required to charge and remit Indonesian VAT based on the information in your seller account. At the time the VAT was calculated and collected, Amazon had enough information to associate your account with Indonesia and cannot refund the Indonesian VAT that was charged.

How do I obtain an Indonesian VAT registration number?

You may be eligible to register for an Indonesian VAT registration number online by visiting your local tax office website, or consult your tax and legal adviser.

I am not an Indonesian resident; will my seller account be subject to Indonesian VAT on fees?

If you are not a resident of Indonesia, Selling on Amazon fees through your seller account will not be subject to Indonesian VAT collection. Consult your tax advisor to help you understand if you have any VAT obligations in Indonesia.

How is Indonesian VAT charged?

Amazon will charge all Indonesian sellers a standard rate of 10% VAT on Selling on Amazon fees, Advertising Fees, and monthly subscription fees.

I updated my information to reflect my current address, which is outside of Indonesia. Why is Amazon continuing to collect Indonesian VAT?

Amazon calculates Indonesian VAT on fees when an order is placed, and collects it when an order is shipped. If the information you provided at the time of shipment indicated you were a resident of Indonesia, then Indonesian VAT will have been collected. This might have occurred if there were pending orders before you updated your current address and payment information.

Go to Seller Account Information and review each section to ensure that all of your information is complete and accurate.

How do I receive a refund for Indonesian VAT that was previously charged on my seller account?

If you believe you were incorrectly charged, you may request a refund for previously-charged Indonesian VAT.

To request a refund:

1. Contact Amazon Selling Partner Support through the Contact us form.
   
   1. Choose Selling on Amazon.
   2. Click Other issues, and then click Tax questions.
   3. Under What are your questions about taxes, request a refund of the Indonesian VAT charged to your seller account.
2. You will receive an update for your case when your request has been processed. The update will provide the estimated date when you can expect to receive a refund in your seller account if your request was approved.

Will Amazon provide me with an invoice for any Indonesian VAT collected on Selling on Amazon fees?

Amazon will provide a monthly tax invoice to sellers who are charged Indonesian VAT on their Selling on Amazon fees. Your monthly invoice will be emailed to the primary email address we have on file for your seller account.

You can also view your monthly invoices in Seller Central by selecting Reports, followed by Tax Document Library, and then accessing Seller Fee Tax Invoices.

Can Amazon help me with my tax return?

While we are committed to helping sellers, we do not provide tax advisory or compliance services. Please contact a tax advisor.