Coretax VAT Draft Support
for Auto Repair & Spare Parts.

Workshops servicing corporate vehicle fleets or handling insurance claims bill both labor repair fees and replacement parts. The tax base for parts is the selling price (VAT Law Article 1(17) and 1(18)), while repair service is the consideration (VAT Law Article 1(17) and 1(19)). Corporate clients must withhold Article 23 income tax at 2% on vehicle maintenance fees under PMK No. 141/PMK.03/2015 Article 1(6)(an). That withholding reduces the cash received, not the tax base on the VAT invoice.

Over-the-counter parts sales or minor repairs for individual walk-in consumers can use retail consolidated tax invoices without customer identification (VAT Law Article 13(5a) and PER-11/PJ/2025 Articles 25–26). However, corporate fleet servicing, government procurement (WAPU), or insurance billing requires full Tax Invoices in Coretax with 16-digit NPWP/NITKU and correct transaction codes. Neracia maps POS cashier summaries so retail and B2B supplies are allocated to the correct reporting modules.

For major engine overhauls, body restoration, or fleet transmission rebuilds, workshops commonly receive down payments. Under VAT Law Article 13(1a) and PER-11/PJ/2025 Article 31(2)(b), a Tax Invoice must be issued when the down payment is received because payment precedes completed vehicle delivery. All e-Faktur must be approved in Coretax no later than the 20th of the following month (PER-11/PJ/2025 Article 44(1)). Late approvals incur a 1% tax base penalty (KUP Law Article 14(4)).

Workshops receive dozens of Input Tax Invoices from authorized distributors of tires, batteries, lubricants, and spare parts. All input tax must be validated against 16-digit NPWPs and workshop NITKUs in Coretax so crediting rights (VAT Law Article 9 and PMK 81/2024) do not lapse. If supplied parts are incorrect or defective, the input VAT reduction follows PMK 81/2024 Articles 286–290 via official return notes issued in the period of return.

Client uploads repair work orders, retail POS counter sales registers, advance bank transfer slips, and input invoices from lubricant and parts distributors.

Neracia human operator separates retail end-consumer sales from corporate B2B/insurance fleet billings, segregating spare parts (goods) from service fees (subject to Article 23).

Neracia prepares draft e-Faktur in Coretax (Drafter role) for B2B fleet billings and repair deposits, validating distributor input invoices for timely client authorization.

Operator delivers the reconciled draft VAT Return combining retail consolidated and B2B supplies; workshop owners review, sign with electronic passphrase in Coretax, submit, and pay billing codes independently.

Article 23 withholding of 2% on motor vehicle maintenance and repair services

Article 1(17) (tax base), 1(18) (selling price), 1(19) (consideration), Article 4, 9, and 13

Retail consolidated tax invoice rules for end-consumers without identification

Tax invoice timing for down payments and the 20th Coretax approval cutoff

Output VAT reduction rules for returned or defective goods with official return notes

Tax Representative Requirements, Drafter Role Boundaries Without Proxy, and Account Security