Indonesian VAT rates

Small enterprises may apply for the simplified Flat Rate scheme, which charges a rate of between 1% and 4% on turnover only. A Luxury Tax of between 10% and 125% is also applied to certain goods, including: high-value real estate; automobiles; and alcohol.

The following rates apply to taxable supplies:

Indonesian VAT rates

Rate Type Which goods or services
10% Standard All other supplies of goods, services and imports
0% Zero Exports; capital manufacturing equipment; and construction services
0% - Exempt: Printed books; medical supplies; real estate; domestic energy; livestock; and agriculture products

Latest Indonesian news

Indonesia demands marketplace VAT data

January 27, 2019

Indonesia has become the latest country to require online marketplaces to share their third-party VAT data to help reduce fraud. From 1 April 2019, marketplaces will be required

Indonesia drops Luxury Goods Sales Tax

June 13, 2015

Indonesia is to withdraw its high rate luxury tax in a bid to stimulate consumption and spending. The tax is levied at between 10%...

Indonesia wants VAT on e-commerce

August 30, 2014

Indonesia is the latest Asia Pacific country to indicate it wants to start levying VAT on e-commerce sales of goods to consumers. Currently, domestic...