The Ministry of Finance Issues New Regulations for E-Commerce: Mandatory Import Data Submission

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The Ministry of Finance in Indonesia has recently introduced fresh regulations that specifically target the realm of e-commerce. In this latest set of rules, Providers of Trading Services Through Electronic Systems (PPMSE), which encompasses both online retailers and digital marketplaces, are now obligated to establish collaborative partnerships with the Directorate General of Customs and Excise (DJBC).

This requirement for partnership is detailed within the Minister of Finance Regulation (PMK) No. 96/2023, which focuses on Customs, Excise, and Tax Provisions concerning Imported and Exported Goods Shipments.

It’s noteworthy that this partnership stipulation comes with an exemption clause. PPMSE entities are exempted from this partnership obligation if their import transactions involving goods shipments do not surpass the threshold of 1,000 shipments within a single calendar year.

To elaborate further on this exemption, the regulation states: “Excluded from the partnership requirement as referred to in paragraph (1), for PPMSE conducting import transactions of Goods Shipments not exceeding 1,000 shipments in a calendar year,” as articulated in paragraph (2) of Article 13 of the regulation, as quoted on Thursday (5/10/2023).

The nature of the partnership envisaged here encompasses various aspects. It includes the exchange of electronic catalog (e-catalog) data and electronic invoice (e-invoice) data, specifically related to goods shipments that are transacted through PPMSE. Additionally, this partnership may take on other forms that serve to enhance the overall services and supervisory capabilities exercised by the Directorate General of Customs and Excise (DJBC).

When delving into the details of this regulation, it is found that the electronic catalog (e-catalog) should, at a minimum, comprise crucial information such as the name of the PPMSE, the identity of the seller, a comprehensive description of the goods, a product code, the product category, specific product specifications, the country of origin, the unit of measurement for the goods, the price of the goods in delivery duty paid (DDP) terms, the effective date of the price listings, the type of currency used, and uniform resource locators (URLs) pointing to the goods in question.

Meanwhile, the electronic invoice is expected to contain, at a minimum, the following key data points: the name of the PPMSE, the name of the recipient, the e-invoice number, the date when the e-invoice was generated, a detailed description of the goods, a product code, the quantity of goods, the unit of measurement for the goods, the price of the goods in DDP terms, the type of currency utilized, the exchange rate applied, the total value of the transaction, details regarding any promotions (if applicable), URLs linking to the relevant goods, and the contact number of the recipient.

To ensure compliance with these regulations, customs offices, facilitated by their computerized service system (SKP), and customs officials will regularly conduct assessments to monitor the number of transactions initiated by PPMSE that have yet to establish the mandated partnerships.

In the event that these assessments reveal that the number of goods shipments managed by e-commerce exceeds 1,000 shipments within a single calendar year, the head of the respective Customs Office will issue a formal notification to the PPMSE, urging them to promptly establish a partnership. Copies of this notification will also be forwarded to the postal service providers responsible for handling the importation of goods shipments for the concerned PPMSE.

Importantly, PPMSE entities are required to initiate and solidify these partnerships within a strict timeframe of no more than 10 days from the date of receiving the notification letter.

If, however, a PPMSE fails to uphold its end of the partnership arrangement, the consequence will be that the importation of goods shipments conducted through PPMSE channels will no longer receive the customary service.

Furthermore, PPMSE entities that have previously engaged in import transactions involving goods shipments exceeding 1,000 shipments within a single calendar year, prior to the enactment of this regulation, are compelled to establish these partnerships within a maximum period of 4 months from the date when this Ministerial Regulation officially comes into effect.

It’s important to note that these regulations for e-commerce were officially introduced on September 18, 2023, and they will become effective after a 60-day grace period from the date of their official enactment. This development marks a significant step in the regulatory landscape of e-commerce in Indonesia, as the government takes proactive measures to ensure transparency, compliance, and proper oversight within this rapidly evolving sector.