- Indonesia introduces new VAT regulations effective January 1, 2025
- Regulation PMK 131/2024 adjusts VAT for imports and deliveries of taxable goods and services
- Luxury goods maintain a VAT rate of 12% under specific classifications
- Non-luxury goods have an adjusted effective VAT rate of 11%
- VAT for luxury goods transactions with final consumers starts February 1, 2025
- Government implements use of other values mechanism to calculate VAT based on selling or replacement values to minimize public impact
Source: globalvatcompliance.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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