Indonesia Significantly Raises Cryptocurrency Transaction Tax

According to Reuters, the Indonesian Ministry of Finance announced on the 30th that it will significantly increase the tax rate on cryptocurrency transactions starting August 1.

The tax rate at domestic exchanges will be raised from the current 0.1% to 0.21%, while for foreign exchanges, it will increase fivefold from 0.2% to 1%. As a major economic power in Southeast Asia, where cryptocurrency investment is rapidly expanding, this measure appears aimed at securing tax revenue and curbing capital outflow abroad.

The country's cryptocurrency market is expected to reach a trading volume of 650 trillion Rupiah (approximately 5.8 trillion yen) by 2024, tripling from the previous year. The number of users has also exceeded 20 million, surpassing the number of stock market investors. Meanwhile, the value-added tax (VAT) on purchases has been...