1 month ago
92
December 24, 2024 | 06:57 am
TEMPO.CO, Jakarta - Service fees for transactions with electronic money (e-money) and digital wallets (e-wallet) will be subject to a 12 percent value-added tax (VAT) levy early next year. The Directorate General of Taxes (DJP) of the Ministry of Finance said that e-money and e-wallet services are not new VAT objects.
The increase in VAT from 11 percent to 12 percent will take effect on January 1, 2025. Director of Counseling, Services, and Public Relations of the DJP Dwi Astuti explained that the administrator fees for digital wallets and electronic money have so far been subject to VAT. "Electronic transaction services have something called admin fees, this is what has been subject to 11 percent (VAT) so far," said Dwi at the Directorate General of Taxes head office, South Jakarta, Monday, December 23, 2024.
The VAT rate is charged to digital wallet service providers. According to him, the increase in the fee rate is regulated by the service provider. The basis for imposing tax on electronic money and digital wallets is not the value of the money filled, the amount of top up, the balance, or the value of the sale and purchase transaction. But for the service of using electronic money or digital wallet.
Dwi gave an illustration of someone who tops up electronic money by Rp1,000,000. The top up fee, for example, is Rp1,500, then the VAT is 11 percent times Rp1,500, the result is Rp165, the admin fee becomes Rp1,665. With the increase in VAT to 12 percent next year, the calculation is 12 percent times Rp1,500, which is Rp180 or the admin fee becomes Rp1,680. The increase based on the DJP's calculation is only Rp15.
Director of Public Policy at the Center of Economic and Law Studies (Celios) Media Wahyudi Askar said that although it is charged to service providers, the increase in VAT rates will be included in the calculation of price components. "Which in the end must also be paid by consumers," he said Monday, December 23, 2024.
In aggregate, the growth in the use of digital services according to Askar is indeed increasing. But its growth is at risk of being hampered, because service users or consumers, can switch to cheaper cash payments. "Although it only saves hundreds of rupiah, for the lower classes it is quite a lot. This is counterproductive to the push for digital service growth," he said.
Editor’s Choice: Jaklingko: Public Transportation Users Still Prefer E-Money Cards
Click here to get the latest news updates from Tempo on Google News
Zulhas Clarifies Only Imported Specialty Rice Subject to 12% VAT
14 jam lalu
The Coordinating Minister for Food has clarified that only imported specialty rice will be subject to the 12% Value Added Tax (VAT) increase.
Economist Predicts 4.1% Inflation Surge Following VAT Increase
19 jam lalu
A Celios economist Bhima Yudhistira has disputed the government's assessment of the impact of the upcoming VAT increase from 11% to 12%.
PDIP Criticizes 12 Percent VAT, Gerindra: Should Declare Themselves as Opposition
21 jam lalu
Gerindra party says that PDIP does not need to play drama by pretending to defend people over the increase in value-added tax (VAT) to 12 percent.
PDIP Denies Being Initiator of 12 Percent VAT: 'Jokowi Govt Proposed It'
1 hari lalu
The PDIP party denied allegations that the party faction proposed an increase in value-added tax (VAT) to 12 percent.
Director General of Taxes Says 12 Percent VAT Imposed on Some Goods and Services
1 hari lalu
The Indonesian govt has finally acknowledged that the increase in Value Added Tax (VAT) next year will not be selectively applied only to luxury goods
Special Rice to Be Subject to 12 Percent VAT
1 hari lalu
Special rice is likely to be subject to Value-Added Tax (VAT) of 12 percent starting next year in Indonesia.
QRIS Not Subject to 12 Percent VAT, Says Coordinating Minister
1 hari lalu
Coordinating Minister for Economic Affairs Airlangga Hartarto said that electronic money transactions through QRIS will not be subject to VAT
Baznas Chair Says 12 Percent VAT Increase Will Not Affect Zakat Receipts
1 hari lalu
The National Zakat Agency of the Republic of Indonesia (Baznas RI) is optimistic that the increase in 12 percent VAT will not affect zakat receipts.
Today's Top 3 News: Celebrate Christmas in Singapore: Festive Events and Attractions
2 hari lalu
Here is the list of the top 3 news on Tempo English today.
Lowest and Highest VAT Rates in the World: Where Does Indonesia Fall?
3 hari lalu
With the rise of Indonesia's VAT rate to 12%, the public began to ask which country has the highest VAT rate in the world. See the full list here.
