PERCEPTION OF DIGITAL SERVICE USERS IN INDONESIA DURING COVID-19 PANDEMIC ON THE IMPLEMENTATION OF PMK 48/PMK.03/2020: Value Added Tax (VAT) of Trading Through the Electronic System (E-Commerce)

Abstract

COVID-19 pandemic has affected many sectors in Indonesia especially in economic sector which causes the state budget becomes deficit. The government have done many efforts to prevent the COVID-19 spread more in Indonesia by declare several health protocols. Hence, the government is encouraging Indonesian people to stay at home as much as possible to minimize physical contact from person to person. In that case, digital technologies are really needed to help people to be able to do their normal activities at home. For this reason, Regulation of the Minister of Finance (PMK) Number 48/PMK.03/2020 about Value Added Tax (VAT) of Trading through the Electronic System was issued by government as a new source of state’s income. This regulation was issued considering digital service users in Indonesia jumped rapidly with 37% are being new users. This study is descriptive research which use the quantitative and qualitative method from questionnaire with Indonesian people who use digital services either for business and/or just for personal consumption. As a result, perception of Indonesian Digital Service Users is positive, many people already know about the imposition of 10% VAT to Trading through Electronic System and do not find it difficult to pay the VAT. However, people still hard to accept an increase in VAT from 10% to 12% in 2025 and do not agree with the expansion of this regulation with tangible goods through electronic system as the tax object of PMK Number 48/PMK.03/2020.