- Indonesia has decided to increase the value-added tax rate to 12% starting January 1 next year
- The VAT hike will apply broadly and not just to luxury goods as previously planned
- The government plans to introduce measures to reduce the impact on lower-income earners
- New items to be taxed include premium-quality food and services like international schools and high-end hospitals
- There has been public pressure and legislative proposals to delay or modify the VAT increase
Source: bangkokpost.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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