This year, crypto transactions will be taxed. Starting May 1, 2022, crypto asset trading will be subject to Value Added Tax (VAT) and Income Tax (PPh).
This information is contained in the regulation of the Minister of Finance of the Republic of Indonesia number 68/ PMK.03/2022. In this rule, it is stated that the taxes charged are divided into two types, namely taxes from physical and non-physical trade.
Physical trading is required to pay Income Tax of 0.1% multiplied by the value of the crypto transaction. Meanwhile, non-physical or electronic trading is subject to a 0.2% tax multiplied by the transaction value, both of which do not include VAT and PPnBM.
Not only that, the tariff for crypto electronic transaction services to the delivery of taxable goods is also taxed. The services themselves are subject to 11% VAT multiplied by the transaction value, meanwhile the calculation of the delivery of taxable goods is VAT (11%) times the transaction value then multiplied by 1% for physical trade and 2% for non-physical.
In the Ministerial regulation mentioned 3 considerations why crypto transactions need to be taxed. First, crypto assets that have developed widely in the community are commodities that can be traded on futures exchanges in accordance with the provisions of laws and regulations in the field of trading.
Second, crypto is seen as a commodity subject to VAT. While the third reason is that income from trading crypto assets is an additional economic capability received or obtained by taxpayers both from Indonesia and from outside Indonesia who are the object of income tax.
This rule comes at a time when crypto is sluggish. The value of rolling digital money today is not as massive as it was some time ago. Based on data compiled by coinmarketcap.com, the graph of several cryptocurrencies has weakened since the last 7 days. Indonesia is no exception, this also affects the movement of domestic crypto transactions.
Source: coinmarketcap.com as of April 14, 2022 at 12:40 WIB
However, there are two things that need to be criticized in this regard. First, how does the addition of VAT and PPh in crypto trading affect the movement of the crypto market in Indonesia? Second, does giving taxes mean that the government indirectly legalizes all forms of crypto and their transactions?
This time, d’Mentor will discuss this with the theme “Crypto Investment After Taxation”. Watch the discussion live on Thursday, April 14, 2022 at 16.00 WIB on detikcom. Presenting, Bonarsius Sipayung, Head of Sub-Directorate of VAT Regulation of Trade, Services and PTLL Directorate General of Taxes and Oscar Darmawan, CEO of Indodax.
For those of you who want to join the discussion, submit your questions or opinions via the zoom link that we will appear on the screen throughout the event.