Withholding Tax Slip

This feature is only available for Indonesian businesses

How to Upload Your Withholding Tax Slip

1. Log in to your dashboard.

2. Go to Settings > Billing Statements

3. Click Upload Withholding Tax

4. You'll receive an email once your Withholding Tax Slip has been approved

  • In case of rejection, review and correct the provided information and try to re-upload the Withholding Tax Slip.
  • Upon approval, our team will process reimbursement or adjustment within a maximum of D+5 working days.

Frequently Asked Questions (FAQ)

Q: What is Withholding Tax article 23?

A: Withholding tax, according to the legal basis in Indonesia under Article 23 of Law Number 7 of 1983 concerning Income Tax as last amended by Law Number 36 of 2008 concerning the Fourth Amendment to Law Number 7 of 1983 concerning Income Tax, is an amount withheld by the payer from payments made to a payee. The withheld tax is then remitted directly to the government by the payer. It is a method used by the Indonesian government to ensure tax compliance and to collect taxes at the source of income.

Q: What is withholding tax slips?

A: Withholding tax slip, as defined under the legal basis in Indonesia, serves as documents that provide evidence of tax withheld by a payer from payments made to a payee. These slips typically include information such as the amount of income paid, the amount of tax withheld, and details of the payer and payee. Withholding tax slips are important for both tax reporting and compliance purposes under the Indonesian tax system.

Q: Why should I submit my withholding tax slip?

A: Submitting your withholding tax slip helps ensure compliance with tax regulations and allows us to accurately process your transactions.

Q: Who is eligible to do Withholding Tax deductions? Corporate or individuals?

A: Both corporate entities and individuals are eligible to make withholding tax (WHT) deductions, depending on the nature of the transaction and the relevant tax regulations. For specific details, please refer to Article 23 of Law Number 7 of 1983 concerning Income Tax as last amended by Law Number 36 of 2008 concerning the Fourth Amendment to Law Number 7 of 1983 concerning Income Tax.

Q: What kind of services do I need to withhold the tax?

A: According to tax regulations, any services related with Article 23 of Law Number 7 of 1983 concerning Income Tax as last amended by Law Number 36 of 2008 concerning the Fourth Amendment to Law Number 7 of 1983 concerning Income Tax is categorized as an object of Withholding Tax Art. 23

Q: When is the right time to upload my tax slip?

A: You should upload your withholding tax slip after making payment for the particular invoice the WHT slip is associated with.

Q: Where should I submit my Withholding Tax Slip?

A: Starting February 15, 2024 we only accept withholding tax slip submissions through the dashboard.

Q: Where can I find the upload button to upload my Withholding Tax Slip?

A: Login to your dashboard and navigate to the Setting – Billing and fees – Billing Statement Page – Upload your Withholding Tax Slip according to the associated invoice ID.

Q: When is the deadline for me to submit the withholding tax slip?

A: We encourage customers to submit their WHT slips promptly after making a payment. The validity for WHT slips for the current tax period is until April 15 of the next year. After that date, we will no longer accept withholding tax slips from the past years.

Q: What happens if I forget to submit the WHT slips and it exceeds the validity date?

A: According to regulations, we will no longer be able to use withholding tax slips that exceed the deadline. We encourage you to revise the tax period to the current one or make a payment for the outstanding amount.

Q: What file formats are accepted for the withholding tax slip?

A: We accept Withholding Tax Slips in PDF format.

Q: Is there a limit to the file size I can upload?

A: Yes, file size limit is 1MB for each PDF file.

Q: How long does it take to process the submitted withholding tax slip?

A: Processing of submitted withholding tax slips typically takes 3-5 working days, but it may be faster in some cases.

Q: My submission keeps failing, what should I do?

A: Please verify all the information stated in the withholding tax slip and try to reupload it.

Q: If all information is correct but the submission still fails, what should I do?

A: Please contact our customer service through email at help@xendit.co or +6281384748739 (Whatsapp Only) for assistance.

Q: Can I still submit my withholding tax slip through other platforms such as email or WhatsApp?

A: No, starting February 15,2024, we will only process withholding tax slips submitted via our dashboard.

Q: I've previously submitted my withholding tax slips through email. Should I re-upload?

A: If you submit before February 15, 2024 you don't need to re-upload. However, if you submit the Withholding Tax Slips after February 15, 2024, you need to re-upload them through your dashboard.

Q: Can I submit one withholding tax slip for multiple invoices?

A: We encourage customers to create and submit one withholding tax slip for one invoice ID. One withholding tax slip associated with multiple invoices will take longer for us to validate.

Q: Which value should we use as the basis for the 2% withholding tax on WHT Article 23?

A: PPh 23 is withheld at a rate of 2% from the Tax Base (DPP) or subtotal amount indicated on the invoice.

Q: What tax code should I use to report PPh 23?

A: You can refer to the applicable tax regulations or use tax code 24-104-18 for Intermediary Services and/or Agency as related to the services we provide.

Q: What happens if the Tax Base on the withholding tax slip differs from the subtotal on the invoice?

A: We advise customers to ensure consistency in the Tax Base amount as per our invoice; any discrepancies may lead to prolonged validation processes.

Q: We have made a payment with a 2% deduction for PPh 23, but our billing status still shows unpaid.

A: The billing status, initially unpaid, can change to paid once the customer uploads the withholding tax slip to the platform. We will validate and process the top-up to the billing balance.

Q: We have made a full direct payment, and our billing status is already paid. Do we still need to submit the withholding slip?

A: Corporate Entities and Individuals eligible for income tax withholding are still obliged to pay and report PPh 23 for our service

Q: What about the withholding tax slip we have already reported for the invoice we have paid?

A: Customers should still upload the withholding tax slip on the platform. After validation, we will refund the cash balance.

Q: I haven't made the payment yet, but I have already issued and generated the withholding tax slip 23. However, I am unable to upload the withholding tax slip  on my billing statement page. What should I do?

A: We apologize, based on our internal regulations, we are unable to process the withholding tax slip if you have not made the payment for the associated invoice. Please make the payment first before uploading the withholding tax slip.

Last Updated on 2024-05-02