Insights

Upgrading Digital Products with Taxes

Pandu –  From my standpoint, the government has made the right decision to require nonresident foreign companies that operate in Indonesia to pay the 10 percent VAT. By paying taxes, foreign digital business actors can set up direct investment in Indonesia.

However, as a startup investor, I also hope that the government will prioritize digital business managers to open all their business activities in Indonesia.

I wish foreign digital business actors have a “knowledge center” here, rather than just sending the marketing team, so they are willing to make a direct investment in Indonesia. Hopefully, the government will actively improve tax collection and focus more on the development of the digital economy in Indonesia.