Draft PMK to Block PMSE Access for Tax Non‑Compliance

JAKARTA – The Ministry of Finance, through Tax Regulation Directorate I headed by Hestu Yoga Saksama, is drafting a Ministerial Regulation (PMK) that would allow blocking the access of electronic marketplace operators (PMSE) that fail to meet tax obligations. The draft was announced on Wednesday, 5 November 2025.

PMSE are designated by the government as third parties responsible for collecting, remitting, and reporting taxes, including value‑added tax on digital services. Under Article 32A of the 2021 Tax Harmonization Law, a non‑compliant operator can be sanctioned with access termination after a warning. Foreign platforms such as Netflix, Facebook and Spotify have already been appointed as PMSE tax collectors.

The pending PMK grants the Finance Minister broad authority to appoint digital entities as tax collectors, extending to withholding income tax (Article 22) for online sellers. Implementation could cut off market access for non‑compliant operators, affecting tax revenue and the digital economy in Indonesia.