How is import tax calculated in Indonesia?

Indonesia taxes the CIF value (cost + insurance + freight). Import duty (Bea Masuk) is charged first on CIF. Then 11 percent VAT (PPN) and an income tax prepayment (PPh 22) are both charged on the duty-inclusive value — CIF plus the duty. The taxes stack rather than apply to the bare goods price.

What is the de minimis threshold for Indonesia?

Shipments with a customs value at or below USD 3 (FOB) are generally exempt from import duty and import taxes. Above that low threshold, duty and taxes apply on the full value. The threshold was deliberately lowered to protect domestic sellers from e-commerce imports.

What is PPh 22 and why does it depend on my tax ID?

PPh 22 is a prepayment of income tax collected at import. The standard rate is higher for importers without a registered tax ID (NPWP) — often double — to encourage registration. Registered importers can credit the PPh 22 paid against their annual income tax liability.

What duty rate should I use?

Indonesia's Most Favoured Nation duty rates vary widely by HS code, from 0 percent for many raw inputs to 5, 10, 15 percent or more for finished consumer goods. Some items like apparel and footwear face higher specific rates. Check the Indonesian customs tariff (BTKI) for your exact product code.

Are these figures exact?

No. This is an estimate of the main levies. Actual clearance can include excise (cukai) on specific goods like tobacco and alcohol, anti-dumping duties, safeguard measures, and handling fees. Always confirm with a customs broker before committing to a shipment.

Indonesia Import Duty & Customs Calculator

Email me this result

Get this tool's output sent to your inbox, plus one useful tool a week. No spam, unsubscribe any time.

Importing into Indonesia adds several stacked taxes on top of the goods price. This calculator applies them in the correct legal order — duty first, then VAT and income-tax prepayment on the duty-inclusive base — to give you a realistic landed cost in rupiah before you ship.

How it works

Indonesian import charges layer on the CIF value:

CIF        = goods + insurance + freight
duty       = CIF × dutyRate              (Bea Masuk)
taxBase    = CIF + duty
PPN        = taxBase × 11%               (VAT)
PPh22      = taxBase × pphRate           (income tax prepayment)
landed     = CIF + duty + PPN + PPh22

The PPh 22 rate is typically 2.5 percent for importers holding a registered tax ID (NPWP) and 7.5 percent for those without one. Crucially, both PPN and PPh 22 are charged on CIF + duty, not on the bare goods value, which is why the total climbs faster than the headline duty rate suggests.

Example and tips

A shipment with a CIF value of Rp10,000,000 at a 10 percent duty rate, imported under an NPWP, owes Rp1,000,000 duty, then Rp1,210,000 PPN and Rp275,000 PPh 22 on the Rp11,000,000 duty-inclusive base — a landed cost of about Rp12,485,000. Without an NPWP the PPh 22 jumps to 7.5 percent, raising the total noticeably. Keep your CIF documentation accurate: customs values the freight and insurance, so under-declaring goods to cut duty risks penalties and re-assessment.