Indonesia hikes crypto seller tax, ends VAT for buyers

The Indonesian government has overhauled its taxation framework for the crypto asset industry, introducing a series of revised policies targeting various crypto-related activities.

On Monday, Indonesia’s Ministry of Finance issued multiple regulatory updates, including regulations No. 50/2025 and No. 53/2025, which amend crypto tax rates and compliance requirements effective Aug. 1.

According to Reuters, the new framework has increased the income tax on crypto asset sales made on domestic exchanges from 0.1% to 0.21%.

The new taxes are significantly higher for crypto sales made on foreign crypto exchanges, up from current 0.2% to 1%, the report noted.

Indonesian miners hit with higher taxes

In addition to hiking the income tax, the new taxation framework have reportedly raised the value-added tax (VAT) for crypto asset miners from 1.1% to 2.2%.

Additionally, the ministry has removed a 0.1% special income tax rate on crypto mining, reportedly subjecting such income to either personal income tax or corporate tax rates, effective in 2026.

“Crypto Asset Miners who have been confirmed as taxable entrepreneurs […] are retail trader taxable entrepreneurs,” the regulation 50/2025 reads. It adds:

“Crypto asset miners who do not fulfill the provisions […] will be subject to sanctions as regulated in the general provisions and tax procedures law.”

While increasing the taxes for crypto miners and sellers, the ministry has exempted some crypto transactions from VAT.

Crypto transactions exempted from VAT

According to regulation 50/2025, transfers of crypto assets that are “equated to securities” and are not subject to VAT.

According to Reuters, the exemption targets buyers of crypto assets, who are no longer subject to VAT. Under previous rules, buyers were reportedly required to pay a VAT of 0.11%-0.22%.

A local report from CNBC Indonesia detailed that the VAT rate for crypto transactions has been removed from regulation 53/2025, which eliminated articles 343 and 354.

“To provide legal certainty for crypto asset trading transactions and adapt to developments in crypto asset trading, it is necessary to adjust tax provisions for crypto asset trading transactions,” Finance Minister Sri Mulyani Indrawati said in the document.