How to Report Crypto Income in Indonesia: Complete Tax Guide 2024

Understanding Crypto Taxation in Indonesia

Reporting cryptocurrency income in Indonesia is mandatory under tax regulations enforced by the Directorate General of Taxes (DJP). Since 2020, crypto assets are classified as commodities subject to capital gains tax and income tax. All Indonesian residents earning profits from crypto trading, mining, staking, or other activities must declare earnings in their annual tax returns (SPT). Non-compliance can result in penalties of up to 200% of unpaid taxes plus interest charges.

Types of Crypto Income and Tax Treatment

Different crypto activities trigger distinct tax obligations:

• Trading Profits: Taxed as capital gains at 0.1% per transaction (final income tax) plus 11% VAT for registered exchanges
• Mining Rewards: Treated as ordinary income, subject to progressive rates (5%-30%) based on annual earnings
• Staking/Yield Farming: Rewards taxed as other income at flat 10% rate
• Airdrops/Forks: Valued at market price upon receipt and taxed as miscellaneous income

Step-by-Step Guide to Reporting Crypto Income

1. Calculate Total Annual Gains: Sum all profits from crypto sales minus acquisition costs using FIFO method
2. Gather Documentation: Collect exchange statements, wallet addresses, and transaction histories
3. File SPT Form 1770/1770S: Report capital gains in Part B, other crypto income in Part E
4. Pay Taxes Due: Settle liabilities through bank transfer or e-billing system using NPWP (tax ID)
5. Keep Records: Maintain documentation for 10 years for audit purposes

Essential Documents for Crypto Tax Filing

• NPWP (Tax Identification Number)
• Transaction history from all exchanges used
• Proof of asset acquisition costs
• Bank statements showing fiat withdrawals
• Records of mining/staking rewards

Deadlines and Penalties

Annual tax returns must be submitted by March 31st each year. Late submissions incur monthly penalties:

• 2% per month for unpaid taxes (max 48%)
• Rp1 million fine for missed SPT deadline
• Criminal charges for deliberate tax evasion

Pro Tips for Smooth Compliance

• Use crypto tax software like Koinly or Pintu for automated calculations
• Convert all transactions to IDR using Bank Indonesia exchange rates
• Report losses to offset future capital gains
• Consult certified tax advisor for complex cases

Frequently Asked Questions (FAQ)

Q: Do I need to report crypto-to-crypto trades?
A: Yes, every trade is a taxable event. Calculate gains in IDR equivalent at transaction time.

Q: How is crypto taxed if I hold long-term?
A: Indonesia has no long-term capital gains discount. All profits are taxed equally regardless of holding period.

Q: Are foreign exchange transactions reportable?
A: Absolutely. Indonesian residents must declare worldwide crypto income regardless of exchange location.

Q: What if I can’t prove acquisition costs?
A: The DJP may deem acquisition cost as zero, making the entire sale amount taxable. Maintain meticulous records.

Q: Can I deduct crypto losses?
A: Capital losses can offset capital gains in the same year, but not ordinary income. Unused losses carry forward 5 years.