DIGIVESTASI - Asih Karnengsih, Executive Director of the Indonesian Blockchain and Crypto Asset Traders Association, answered questions about cryptocurrency exchanges in Indonesia that are still constrained by high taxes. 

She said the implementation of high cryptocurrency taxes has greatly affected transactions in the cryptocurrency sector. "There are two things that I think we care about. Asih when met after the Crypto Exchange 101 seminar at the Unika Atma Jaya Campus, Jakarta, Monday, January 29, 2024: "Because it is true that taxes directly or indirectly affect the number of transactions (cryptocurrency) translation in Indonesia". 

Asih hopes that in the future there will be tariff adjustments. "This is very important because cumulatively the amount of transaction costs that must be paid by traders or investors in conducting cryptocurrency transactions in Indonesia is very high," he said. 

It is this factor that encourages investors to choose to trade abroad, with almost zero transaction costs. 

Second, because later (cryptocurrency) will be included in the technological innovation of OJK's financial industry and become part of financial instruments, if it can be defined as a financial asset, it means there is no VAT (value added tax) he said. 

Asih said this is in line with the tax harmonization law where financial assets are not subject to VAT. She also hopes that with the adjustment of the two points above, cryptocurrency trading in Indonesia can increase again. "Because if we lose money, we will continue to sell it and now we also have to pay taxes. So imagine, it (can) discourage," he said. 

For information, the crypto asset trading tax has been enforced since May 2022.  VAT is calculated at 0.11%, while income tax on crypto asset trading is 0.1%.

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