On 28 June 2021, Indonesia Finance Minister Sri Mulyani Indrawati announced government tax reform plans to increase revenue considering the impacts of COVID-19 on the country. Measures of the plan include:
- Increasing the standard VAT rate from 10% to 12%, along with the introduction of varied rates of 5% to 25% for certain goods and services, as well as the removal of most VAT exemptions;
- Introducing a new top individual income tax rate of 35% for income over IDR 5 billion;
- Introducing a new…