Real-Time PPN Collects Incoming: Payment Issuers Face New Compliance Burdens for Foreign Digital Transactions

The Minister of Finance (“Minister”) has issued Regulation No. 49 of 2026 (“Regulation 49/2026”) on Procedures for the Collection of Value-Added Tax (Pajak Pertambahan Nilai – “PPN”) on Foreign Digital Transactions Conducted through the Tax Collection System for Foreign Digital Transactions (Sistem Pemungutan Pajak atas Transaksi Digital Luar Negeri – “SPP-TDLN”).[1] This Regulation 49/2026 serves as an implementing framework to Law No. 8 of 1983, which has been amended several times, most recently through Regulation of the Government in Lieu No. 2 of 2022 (collectively referred to as “Law 8/1983”) and Regulation of the President No. 68 of 2025 (“Regulation 68/2025”),[2] which officially appointed PT Jalin Pembayaran Nusantara to organize the SPP-TDLN.[3]