In light of the impending transition to OJK regulation in 2025, Bappebti has urged the Indonesian Finance Minister to reconsider current cryptocurrency tax rates.
A representative from the Indonesian government’s watchdog for commodities futures trading (Bappebti) has asked the minister of finance to reevaluate the current tax rates on digital assets. Cryptocurrencies in Indonesia are currently subject to income tax and value-added tax (VAT) since they are considered commodities. But there are demands to reevaluate current tax rules since, in 2025, the country’s financial services authority, OJK, will take over the regulation of cryptocurrencies.
During a recent event, Tirta Karma Senjaya of Bappebti brought up this matter, noting that the digital asset market needs time to mature before it can make a significant tax contribution to the country. According to him, the present tax regulations have been in place for more than a year, and it is usual practice to evaluate such policies once a year.
Crypto industry players have voiced their disapproval of the current tax rules. Crypto exchanges in Indonesia have seen a significant 60% drop in trading volumes compared to last year. They are blaming the high tax burden, which might force consumers to seek out other exchanges, for this loss.
Speculation persists that Bappebti may aim to bring cryptocurrency taxes in line with stock taxes by doing away with value-added tax (VAT). The agency has not officially announced any modifications to the Finance Ministry regarding this matter. This theory arises from the industry’s expectations of a regulatory change, such as the transfer of crypto supervision to OJK, which may result in the classification of cryptocurrencies as securities in Indonesia.
The topic of taxes on digital assets will be considered internally, according to Ministry of Finance spokeswoman Dwi Astuti, who has also indicated a readiness to receive public and Bappebti opinions on the matter. This new information suggests that, in anticipation of legislative developments in the cryptocurrency industry, Indonesia may adjust its stance on cryptocurrency taxes.
Also Read: Financial Watchdog FATF lowers Russia’s digital asset control deficit rating March 2, 2024
Wallets