Jakarta (ANTARA News) - Taxation Directorate General of the Ministry of Finance is formulating tax rules, to be applied to electronic business, or e-commerce, which are planned to be issued in the near future.
Director General of Taxation of the Ministry of Finance Ken Dwijugiasteadi noted in Jakarta on Friday that tax rules on e-commerce will regulate the payment method for taxable items.
"Next week, e-commerce tax rules (will be issued)," he remarked.
He explained that one of the tax collection mechanisms will be applied to e-commerce players who have applications, and this is not a new tax object, with the only change being a shift from conventional to electronic transactions.
"It should be borne in mind that online transactions do not mean new tax objects, but they are old tax objects whose taxes have not yet been collected," he explained.
Executive Director of the Center for Indonesia Taxation Analysis Yustinus Prastowo had earlier noted that the government should carefully manage taxes on e-commerce, so as to not negatively affect both the e-commerce industry and its players.
"Given that e-commerce is a growing sector, it will be better for the government to be more careful, so that the policies adopted do not disadvantage the business community," he said.
He highlighted the need for a clear identification and classification of the existing business model and scale. Business start-ups should be treated differently by offering incentives to facilitate growth, and this should continue to be maintained in order to contribute significantly to the country.
Source: ANTARA News