Directorate General of Taxation (DJP) The Ministry of Finance stated that financial service transactions by fintech or digitally would be imposed Tax Value Added (PPN) 11 percent. One of them, top up transactions e-money or e-wallet.
The Head of Sub-Directorate for Regulation of VAT, Trade, Services and PTLL DJP Bonarsius Sipayung stated that the VAT imposed on e-money only applies to top up or top-up service fees.
For example, when you fill out an e-money of IDR 1 million, the administration fee will be IDR 1,500. So, the VAT charged is 11 percent of Rp. 1,500, not Rp. 1 million.
Bonar then gave another example. If you make a digital money transfer transaction and the fee charged is IDR 6,500, then the VAT charged is IDR 715 per transaction.
“So it’s not the top up value, but the service used earlier that was facilitated by the facilitator. So for a fee (commission), not a million top up subject to (VAT) a million, it’s good that I lost my money, right? Binomo, please, that’s the name,” he explained to press conference, Wednesday (6/4).
The rules explained by Bonar are contained in the Minister of Finance Regulation (PMK) Number 69 of 2022 concerning Income Tax and VAT on the Implementation of Financial Technology which will take effect from 1 May.
In Chapter III which regulates VAT Treatment on the Implementation of Financial Technology, it is explained that the provision of payment services in question is in the form of electronic money, electronic wallets, payment gateways, switching services, clearing, final settlement, and fund transfers.
Then, Article 7(2) describes the types of electronic money services in the form of top ups, cash withdrawals through other parties who cooperate with electronic wallet operators or using other channels, transaction payments, bill payments, fund transfers and or paylater services. .
(wel/one)
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