- New VAT policy in Indonesia applies a 12 percent tax only on luxury goods and services
- The policy change was announced on December 31, 2024, after public opposition to a broader tax increase
- Kadin Chairman Arsjad Rasjid states the policy helps domestic industries stay competitive and supports economic growth
- The policy aims to protect the purchasing power of the middle class
- Kadin had provided feedback to the government on the VAT increase from business associations
- Kadin Deputy Chairman Suryadi Sasmita urges businesses to refund customers for any overcharge on non-luxury items
- Business actors understand the tax changes and their role in achieving an 8 percent economic growth target
- Kadin and industrial associations commit to supporting efficient and effective tax policies for national economic growth
Source: en.antaranews.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.
