Indonesian regulators consider tax on cryptocurrency transactions

Apr 27, 2021 | CoinTelegraph News | 0 comments


Officials are considering a tax on all cryptocurrency transactions in Indonesia.

Indonesia’s Commodity Futures Trade Regulatory Agency (known as Bappebti) is considering levying a tax on all cryptocurrency transactions taking place on regulated exchanges within the country.

Currently, 13 cryptocurrency exchanges fall under Bappebti’s regulatory oversight, and the tax would be automatically applied by these platforms should it be approved, according to a report by the Phnom Penh Post.

“It is currently [undergoing] internal review at Bappebti, then we will coordinate with the BKF,” said Sidharta Utama, head of Bappebti, adding that the actual tax rate had not yet been decided. The BKF refers to Indonesia’s Fiscal Policy Agency.

Regulatory activity in Indonesia surged during the past six months as Bitcoin (BTC) and the wider cryptocurrency market soared to new all-time highs. In December 2020, Bappebti issued regulation recognizing an initial 229 cryptocurrencies as legally tradable commodities, while leaving the door open for traders to suggest adding new coins to the list. In February, the agency identified 13 trading platforms which it recognized as licensed entities.

Indonesia originally warned against the use of cryptocurrencies as a means of payment in 2014, and by 2017, had introduced legislation that demanded that fintech companies register with the Bank of Indonesia to ensure they weren’t using cryptocurrencies in payment systems.

Chairman of the Indonesian Crypto Asset Traders Association, Teguh Kurniawan, said the group he represents proposed a tax rate of 0.05%, adding that a high tax rate could push people towards illegal channels when purchasing cryptocurrencies.

“To date, there has been no feedback on the type of tax. We hope the tax rate will not be too high, [or] we fear that investors may turn to investing in crypto [assets] through illegal channels, which would be harmful,” said Kurniawan.

News Source from

Related Articles

Nigeria Devalues Currency as Central Bank Moves to Unify Exchange Rates

Nigeria Devalues Currency as Central Bank Moves to Unify Exchange Rates

In a possible policy shift, the Central Bank of Nigeria (CBN) recently allowed the local naira currency to briefly drop to a new low of USD$1 for 419.75 nairas on May 14, 2021. However, by close of business the naira had recovered and was trading around 411.25. Before...

Mapping out Genesis Block Ventures’ portfolio

Mapping out Genesis Block Ventures’ portfolio

Quick Take Based in Hong Kong, Genesis Block was founded in 2017 by Wincent Hung and Clement Lp. Aside from operating a proprietary trading desk and offering market making, the firm formed Genesis Block Ventures (GBV), a separate entity that provides investment to the...

All hail the Shiba? Rise of Dogecoin pretenders fueled by meme frenzy

All hail the Shiba? Rise of Dogecoin pretenders fueled by meme frenzy

Shiba Inu joins in at the top of the dog meme coin phenomenon as Musk announces developer support for Dogecoin. Shiba Inu (SHIB) has been the talk of the cryptoverse and mainstream media recently. It is a meme coin themed around the Shibu Inu dog, a Japanese dog breed...

Pin It on Pinterest

Share This