Govt Revokes E-Commerce Regulation
Indonesian Ministry of Finance revoked Regulation of the Minister of Finance Number 210/PMK.010/2018 on Tax Treatment of Trade Transactions of e-Commerce.
The revocation was announced directly by Minister of Finance Sri Mulyani Indrawati while inspecting the tax reporting process to the Jakarta Setiabudi 4 Tax Service Office, Friday (29/3).
The annulment is expected to cease the speculations of the digital world taxation, Sri Mulyani said.
According to the Minister, the retraction will give the Government a chance to conduct more comprehensive coordination and synchronization between ministries/institutions in order to ensure that the e-commerce regulation are right on target, fair, efficient, and encourage the growth of the digital economy ecosystem.
The Government will also conduct more intensive dissemination of information with all stakeholders, as well as prepare an e-commerce data reporting infrastructure, Sri Mulyani said.
With the regulation withdrawal, Sri Mulyani continued, the tax treatment for all economic entities still refers to the prevailing laws and legislations.
Business entitiesboth e-commerce and conventionalwhose income up to Rp4.8 billion can utilize the final tax scheme at a rate of 0.5 percent of the total turnover of the business. (Humas Kemenkeu/ES)
Translated by: Galuh Wicaksono
Edited by: Yuyu Mulyani