- Home >> Features >> Technology
Indonesia applies 10% VAT to more tech companies including Facebook
- Monday | 10th August, 2020
JAKARTA (Reuters) – Indonesia has added more technology companies that will be obligated to apply 10% value-added tax on sales to Indonesian customers to include Facebook, Disney and TikTok, its tax office said on Friday. “In Indonesia, we will start collecting VAT as of September 1, 2020, as required under Indonesia regulations,” a Facebook spokeswoman said. Tech giants are increasingly facing tougher fiscal regimes in Southeast Asia, including in Thailand and the Philippines, where legislation pending house approval proposes VAT of 7% and 12% respectively. The Indonesian tax office in a statement said it continues to identify other technology companies to inform them of the digital tax rules, adding the number of firms subject to the VAT would likely increase. The VAT rules aim to create a level playing field between foreign and local companies and between conventional and digital businesses, it said.
If You Like This Story, Support NYOOOZ
Your support to NYOOOZ will help us to continue create and publish news for and from smaller cities, which also need equal voice as much as citizens living in bigger cities have through mainstream media organizations.
