In Indonesia, taxable entrepreneur is required to issue a tax invoice as proof of Value Added Tax (VAT) collection. This provision also applies to retail entrepreneur.
Taxable retail entrepreneur is determined based on the transaction of delivering taxable goods and/or services to the final consumer, not on Business Fields Classification. An example of taxable retail entrepreneur is supermarkets, minimarkets, department stores, and other types of businesses
There are 2 characteristics of final consumers based on Article 25 PER 03/PJ/2022. First, goods and/or services are directly consumed by consumer. Second, goods and/or services purchased are not used or utilized for business activities by consumer.
Based on Article 2 Director General of Taxation Regulations Number PER 03/PJ/2022 (PER 03/PJ/2022), taxable entrepreneur who deliver taxable goods and/or services to final consumer can make tax invoices without including buyer’s identity as well as seller’s name and signature. Furthermore, VAT on the taxable retail entrepreneur's tax invoice is not creditable.
Tax invoices issued by taxable retail entrepreneur must at least include:
- Name, address and Tax Identification Number (TIN) of the party making the delivery,
- Goods and/or services types and prices,
- VAT and Sales Tax on Luxury Goods collected,
- Code number, serial number, and tax invoice creation date.
Tax invoices can be in the form of cash receipts, sales invoices, cash register, tickets, receipts, or proof of delivery or other similar payments. Taxable retail entrepreneur can make correction, replacement and cancellation of Tax Invoices in accordance with the normal business of taxable retail entrepreneur.
retail-entrepreneur , retailer , tax-invoice
