Indonesia hikes crypto tax rates to 0.21% domestic 1% offshore in 2025 regulatory push

Indonesia’s cryptocurrency tax revenue has experienced notable fluctuations in recent years, with a peak in 2024 followed by a decline in early 2025. In 2022, the government collected IDR 24.6 billion in crypto taxes, which rose to IDR 62 billion in 2024 amid regulatory shifts and market expansion [1]. However, 2025 has seen a drop in collections, with year-to-date revenue standing at IDR 11.5 billion [1]. Officials attribute these changes to market volatility, regulatory adjustments, and investor behavior.

The government has introduced significant changes to its crypto taxation framework in 2025 to stabilize revenue and encourage local platform usage. Starting August 1, 2025, the tax rate on domestic crypto transactions has increased to 0.21%, up from 0.1%, while the rate for offshore platforms has jumped to 1%, a fivefold increase from 0.2% [1]. These adjustments aim to capture more of the market within the country’s regulatory system and address the outflow of transactions to foreign platforms. The Finance Ministry also issued PMK Number 50, 53, and 54 of 2025, which redefine tax obligations and align with the Financial Services Authority (OJK)’s oversight [1].

Analysts have highlighted the unpredictable nature of crypto tax revenue, which is heavily influenced by market conditions and investor sentiment. Yon Arsal, from Tax Compliance, emphasized the need for inter-agency coordination to ensure enforcement and clarity. Bimo Wijayanto, Director General of Taxes, noted that annual crypto tax revenue has typically ranged between IDR 500-600 billion in recent years, though the 2025 figures suggest a slowdown [1]. Hestu Yoga Saksama from the Directorate General of Taxes added that revenues in 2022 were IDR 246 billion, which dropped to IDR 220 billion in 2023 before rebounding in 2024 [1].

Indonesia’s broader crypto market has shown resilience, attracting over $157 billion in asset inflows from July 2023 to June 2024 and becoming the top recipient in Central & Southern Asia and Oceania [1]. The government’s regulatory approach appears to have played a role in this growth, though challenges remain, particularly in enforcing compliance on decentralized and offshore platforms. Some experts have warned that high tax rates could discourage frequent traders or push users toward non-compliant services [1].

As Indonesia continues to refine its tax and regulatory strategies, the effectiveness of these policies will depend on their enforcement and the market’s response. The coming months will be critical in determining whether the government can maintain a balance between taxation and market accessibility or face further challenges in stabilizing crypto tax revenue.

Source:

[1] Indonesia to Hike Crypto Taxes, Target Offshore Platforms with Higher Rates Next Month (https://decrypt.co/332539/indonesia-to-hike-crypto-taxes-target-offshore-platforms-with-higher-rates-next-month)

[2] Bitcoin mining faces surging power demands and record low fees (https://www.mexc.com/news/bitcoin-mining-faces-surging-power-demands-and-record-low-fees/63305)

[3] Indonesia Crypto Tax Income Reflects Market Volatility (https://coinfomania.com/indonesia-crypto-tax-fluctuates/)