Cryptocurrency trading in Indonesia will be subject to Value Added Tax (VAT)
Navigasi - Cryptocurrency transactions are currently very popular for all circles, especially for the younger generation whose growth has increased more than other investment instruments such as stocks and forex and is traded per day reaching more than 1 trillion rupiah for the Indonesian region alone.
|Cryptocurrency trading in Indonesia will be subject to Value Added Tax (VAT)|
no wonder the Indonesian government is ogling this as a large trading transaction and must be taxed as stated in Law Number 7 of 2021 concerning the Harmonization of Tax Regulations (HPP).
Regarding the collection of VAT taxes on crypto transactions, the Director of Tax Regulation I, Directorate General of Taxes (DJP) of the Ministry of Finance, Hestu Yoga, said directly at a press conference in Jakarta, "Crypto is subject to VAT as well. Why? Because it's not money. IDX (Indonesian Stock Exchange) ) never said it was a means of payment. The Ministry of Trade Bappepti (called crypto) is a commodity," on Friday (1/4/2022).
even so for the value of the tax amount on crypto asset transactions, the final decision is at 0.1 percent of transactions where this is also emphasized "It's a commodity so we charge it in addition to PPh as well as VAT. But (the tax) is very small, that's what we call the amount certain, (only) zero point so many of the transactions," said Director of Tax Regulation I Directorate General of Taxes (DJP) Ministry of Finance Hestu Yoga.
regarding taxes for bitcoin and other altcoins will be redesigned as simple as possible so that it can be understood by cryptocurrency traders that this cryptocurrency tax will take effect on May 1, 2022.
"So, indeed, we are implementing the final VAT. So, for the imposition, we will regulate it, the simplicity of calculating taxes and depositing them," he said.
Previously, Finance Minister Sri Mulyani Indrawati emphasized that not all goods or services were affected by the 11 percent VAT rate starting April 1, 2022.
He said the government still excludes some goods or services needed by citizens from the imposition of VAT. Certain goods or services are only subject to a VAT rate of 1 percent, 2 percent, or 3 percent.
In the HPP Law, a tariff of 1 percent to 3 percent is given to certain types of goods or services or certain business sectors through the application of the final VAT rate from business circulation.
Meanwhile, 0 percent VAT is given to goods or services that are considered very needed by the community, namely basic needs, health services, educational services, social services, and several other types of services.
"In order not to be subject to an 11 percent VAT rate, the possibility is given to get a tariff that is only 1.2 and 3 percent. So it's not even 10 percent. It's down to 1-3 percent, that's a concept of justice," said Sri Mulyani in the Talkshow Spectaxcular. in Jakarta, Wednesday (23/3/2022).