Fiscal Policy Perspective on Virtual Business During COVID-19 and Its Challenges: The Case of Indonesia

Abstract

This study has two objectives. The first aim is to examine tax policies on virtual businesses in Indonesia. Government Regulation in Lieu of Law Number 1 of 2020, promulgated into Law Number 2 of 2020, regulates taxation policies on trade through electronic systems. This law is an integral part of the regulations regarding the handling of the COVID-19 pandemic. The second objective is to analyze the potential challenges that arise in tax policy implementation on virtual businesses. This study is qualitative research with data collection techniques in the form of documentation and literature studies. The research concludes that the implementation of VAT on PMSE does not violate the consensus or legal character of VAT in concept. However, the imposition of income tax and electronic transaction tax still creates polemics due to conflicts with the tax treaty provisions. Furthermore, the Government's biggest challenge is the courage to set taxes on digital companies over the top, considering that Indonesia has bargaining power. Besides, the Indonesian Government needs to maximize big data analysis and Automatic Exchange of Information (AEoI) to overcome the possibility of fraud.

Implementation of Regulation About Enhanced Recovery After Caesarean Surgery in Indonesia: A Literature Review

“…These standards are essential for informing regulatory frameworks and ensuring the delivery of safe anesthesia services in Indonesia. In the face of the COVID-19 pandemic, the Indonesian government has implemented policies aimed at controlling the spread of the virus, including large-scale social restrictions in various regions of the country (Saptono & Ayudia, 2020). These policies have implications for healthcare delivery, including anesthesia services, and highlight the intersection of public health policies and healthcare regulation.…”

Tinjauan atas Penerapan Pajak pada Perdagangan Melalui Sistem Elektronik dalam Perspektif Peraturan Perpajakan Saat Ini

“…Walaupun DST merupakan pajak langsung, tapi DST bukan merupakan PPh, sehingga tidak dicakup dalam ketentuan tax treaty (Kurniawan, 2020). Basis pajak DST ialah sejumlah transaksi PMSE yang dihasilkan oleh perusahaan asing dan bukan dari jumlah keuntungan yang diperoleh (Geringer, 2020;Budi dan Ayudia, 2021). Indonesia pun juga menerapkan hal serupa dengan mengeluarkan kebijakan Pajak Transaksi Elektronik/PTE.…”

“…Konsekuensi ini mau tidak mau menimbulkan ketidaknyamanan antara wajib pajak dan otoritas pajak. Selanjutnya, pengenaan PTE dapat mengancam ekspor dan memicu konflik perang dagang dengan negara mitra (Budi dan Ayudia, 2021). Hal ini dikarenakan mekanisme pajak yang baru ini berdampak pada berkurangnya pendapatan pajak di negara asal perusahaan asing (Rebecca, 2021).…”