JAKARTA, July 14 (Reuters) - Indonesia's finance

ministry will require e-commerce platforms to collect and pass

on an income tax on sales made by small- and medium-sized

sellers, according to new regulations published on Monday.

Platforms that meet certain criteria must withhold and pass

on a 0.5% tax on sales made by sellers with an annual turnover

of between 500 million rupiah to 4.8 billion rupiah ($30,800 to

$296,000).

They must also share the sellers' information with tax

authorities.

The ministry will notify a platform if it meets the

criteria, which will be based on site traffic and total

transaction value over the past 12 months. While the directive

is effective immediately, platforms will be given a month to

comply.

Reuters reported exclusively last month on the plan to

impose the tax.

The tax office has said the rules are intended to tackle the

"shadow economy".

Indonesia's e-commerce association idEA has said its

members would comply, but expressed concern over the

implementation timeline, with the regulation set to impact

millions of sellers.

Indonesia's main e-commerce operators include

ByteDance's TikTok Shop and Tokopedia, Sea Limited's ( SE )

Shopee, the Alibaba ( BABA )-backed Lazada, Blibli

and Bukalapak.

Southeast Asia's largest economy has a booming

e-commerce industry, with last year's estimated gross

merchandise value of $65 billion expected to grow to $150

billion by 2030, according to a report by Google, Singapore

state investor Temasek and consultancy Bain & Co.

($1 = 16,240 rupiah)