Indonesia: About Value Added Tax (VAT) and Withholding Tax (WHT)

Last updated: September 2024

This article is applicable if your business is registered in Indonesia. Your contracting entity under the TikTok for Business Advertising Terms for Ad Services will either be PT MP Games or TikTok Pte. Ltd. To find your contracting entity, refer to TikTok for Business Advertising Terms or the entity name indicated in your invoice.


If you are contracting with PT MP Games:

  • Value-Added Tax (VAT) will be collected on invoice insurance according to the prevailing VAT rate. A downloadable tax invoice (Faktur Pajak) will be sent together with your commercial invoice in the form of a URL link from noreply-invoice@mail.bytedance.net. You can download the Tax Invoice for each relevant Commercial Invoice by clicking the given URL link within the invoice email without any prior registration required.

  • State-Owned Enterprises (Badan Usaha Milik Negara) with a respective VAT collector status (WAPU PPN) as stipulated by the Indonesian tax regulations will need to provide proof of VAT payment (Surat Setoran Pajak - SSP/Bukti Penerimaan Negara - BPN) of each tax invoice issued to IDO-WHTSLIP@commercial.tiktok.com, to avoid having an outstanding balance in your account. Send a copy of the SSP/BPN by the end of the month following the issuance date of the tax invoice. The SSP/BPN should include PT MP Games' name, address, NPWP number, and tax invoice serial number and code.

  • Referring to Indonesia Tax Law, the rendering of services to you should fall under Article 23 withholding tax. If you wish to withhold a 2% withholding tax on your payment, send us the withholding tax slips (Bukti Potong) no later than 30 days after the payment date or when it has been reported on your tax returns, to avoid having an outstanding balance in your account. Failure to provide the required withholding tax slips may result in the collection of the outstanding balance.

    • If the tax slip is an electronic tax slip or e-bupot with a QR code, send it to IDO-WHTSLIP@commercial.tiktok.com with email subject as Your Company Name - Indonesia Withholding Tax Slip. Otherwise, the original hardcopy must be sent to our mailing address (att. Tax Department) as written on our commercial invoice issued to you.

  • If you've made changes to your tax information, notify your Partnership Manager and update your tax information in a timely manner to avoid inaccurate information being stated on the invoice. For supporting documents, provide New Tax ID (NPWP) and New Taxable Entrepreneur certificate (SPPKP) if you have registered for VAT.

    • Note: If your invoice requires further revision, notify us and provide us with the supporting documents no later than the 20th of the month following the invoice date.


If you are contracting with TikTok Pte. Ltd.:

TikTok Pte Ltd is responsible for determining, collecting, and remitting VAT on the sale of Ads Services in Indonesia. VAT will be collected according to the prevailing VAT rate in Indonesia if you meet the following criteria:

  • Domiciled in Indonesia; or

  • Make payment using debit, credit, or other payment facilities; or

  • Enter into transactions using an internet protocol address in Indonesia, or using a phone number with an Indonesian country code.

Note: The receipts or invoices issued by TikTok Pte. Ltd. containing your registered name and Tax ID number (NPWP) will be treated as equivalent to VAT collection evidence (dipersamakan dengan Faktur Pajak), and could be used to claim input VAT credit if you are a VAT registrant in Indonesia (Pengusaha Kena Pajak). Go to Account info and then Account Setup to fill in or update your Business name and NPWP in time.


Your Ad Service payment to TikTok Pte. Ltd. Is subject to Article 26 withholding tax for offshore transaction. According to the Tax Treaty concluded between Singapore and Indonesia as well as the Indonesian withholding tax regulations under Article 26, Advertising fees charged by TikTok Pte. Ltd. to you should be exempt from Article 26 withholding tax in Indonesia (0% withholding tax).


If you would like request the supporting documents of DGT form and Certificate of Residence ("COR") of TikTok Pte. Ltd. to file along with your Article 23/26 withholding tax returns, contact the Partnership Manager in charge of your account.


If you don't have a Partnership Manager, you may also request the COR and DGT form by raising a help ticket through your TikTok Ads Manager Platform. For more information on how to raise a ticket, refer to How to Contact TikTok Business Support.


If you've made changes to your tax information, update your tax information in your Account Setup or contact your Partnership Manager in a timely manner.


Note: TikTok is unable to advise you on tax matters. Please contact your local tax advisor or tax authorities for any tax questions that you may have in relation to your ads purchase.