The Directorate General of Taxes (DJP) has affirmed that it will prioritise faster disbursement of tax refunds (restitution of overpaid tax) for micro, small and medium enterprises (MSMEs), labour-intensive industries, and taxpayers with small refund amounts. This was conveyed by the Head of DJP's Subdirectorate of Industrial VAT Regulation, Endro Tribudi Setijanto, at the Taxplore UI 2026 National Seminar in Jakarta, as reported by several media outlets on Tuesday (10 November 2026). The move follows Finance Minister Suahasil Nazara's instruction on 9 October 2026 that refunds for these sectors be processed as quickly as possible to preserve business liquidity.
Key points
- According to Endro, small taxpayers are the hardest hit by economic pressure, so their cash flow needs to be protected. He stressed that a refund is essentially returning money that does not belong to the state.
- There are two refund routes: through a tax audit, which can take up to a year, and a preliminary refund based on a desk review, which according to DJP takes about one month.
- The preliminary refund is a facility for low-risk taxpayers. Without it, every refund application would, by default, be audited.
Requirements tightened under PMK 28/2026
The government tightened the preliminary refund rules through Minister of Finance Regulation (PMK) No. 28 of 2026, which covers taxpayers meeting certain criteria, taxpayers meeting certain requirements, and low-risk VAT-registered entrepreneurs (PKP). For low-risk PKPs, exports, deliveries to VAT collectors and/or deliveries on which VAT is not collected in the relevant tax period must account for at least 80% of total deliveries. According to DJP, the rule prevents taxpayers from exporting very small quantities merely to qualify.
What to watch
DJP retains the authority to audit even when a refund has been paid through the preliminary route. Taxpayers planning to file a refund claim should ensure complete documentation, consistency of input VAT invoices, and the composition of their deliveries before choosing a refund route.
Want to make sure your refund application qualifies and is processed smoothly? Consult the Hanna Consulting team.
Sources: DDTCNews (percepatan) · DDTCNews (fasilitas) · Kontan · IDX Channel
