Jakarta, Thursday, March 31, 2015. In the midst of a national e-commerce industry is very positive recent years, the discourse of taxation still unformed potential to inhibit the growth, because it raises the multiple interpretations of the businessmen. For example, as submitted by the Director General of Taxes - Ken Dwijugiasteadi to the media this week, where the government plans to tax each online transaction, which must be paid by the owners of online businesses to the Directorate General of Taxation.

In fact during the company's e-commerce legal entities have followed the tax rules that apply to the corresponding obligation to pay tax each. But note, e-commerce in general can be divided into several business models, which would require a different tax treatment. For example in the online retail model, where all of the stock of goods is governed by the site owner, the imposition of VAT and remittance made by the owner of the site.

While other business models such as the marketplace, providing only a place of business for the merchants who sell on their site. In this case, should the collection and remittance of VAT made by the merchants. Similar to what happened at the mall or shopping center like Tanah Abang. Of course, only certain traders with a turnover that has PKP and obliged to levy VAT.

Another with online classified ads that did not facilitate transactions between sellers and buyers. As well as the classified ads in newspapers, the media is certainly not may charge VAT on transactions that occur between seller and buyer.

However, both business models on top of keeping tax rates for the services or products they sell to users. For online classified ads are the main income source of premium features (like sundul, the top ad position, and others), would charge VAT for each feature are sold. Then it needs a deep understanding of the business model of each to be able to enforce rules that objective and constructive for the industry.

Beyond the matter of VAT, could also arise regarding the taxation discourse free of charge for business models such as online classified ads are mostly services can be enjoyed by the user community for free. The business model is often known as the freemium concept is quite plural in the digital realm, which generally benefit consumers. Of course, this free service can not be equated with the provision of free product samples that according to the rules is subject to tax free.

"In essence we as business people have been and continue acting in good faith to implement the tax liability according to the rules. What we want is clarity on the tax regulations. According to our perspective, the tax rules applicable in the realm of offline automatically apply also online. For it is not perludi create additional rules that will be magnified will confuse the industry, "said Daniel Tumiwa as Chairman of IDEA.

"If the tax created a layered, online businesses with legal status in this country will become less competitive than overseas players. Rather than focus on the actual domestic players sudahikut rule, also try to think of a strategy to tax the foreign players who gain profits from the Indonesian market, "he added.

Indonesia is currently in the spotlight of the world, because it is predicted will be a new power of the digital economy in Asia. In the near future, Indonesia will host the largest e-commerce event "Indonesia E-Commerce Summit & Expo (IESE)" on April 27 to 29 next. The event was organized by the E-Commerce Association of Indonesia together with the Ministry of Commerce, Ministry of Communications and Information Technology, and Creative Economy Agency aims to further strengthen Indonesia's position in the world arena of digital economy. Would be ironic if the tax rules are not clearly stain the positive climate is being built together.

about IDEA

E-commerce Association of Indonesia which was formed in May 2012 an institution for the e-commerce pemainindustri this country to interact with fellow players and also the government. Currently a member of the association includes more than 180 players from online retail category, market place, daily deals, classified ad, price comparison, travel, payment systems, logistics, and several related strategic partner. IDEA has a vision of making Indonesia as a state-based digital economy through a partnership with the partners in the country that can contribute to realizing the growth of e-commerce Indonesia, while continuing to hold a program of education and socialization about this industry.

 

For further information, please contact:
Ayu Indirawanty
Secretary General Idea
+62 21 2550 2625
ayu@idea.or.id