The discourse of legalizing online gambling practices has emerged to the public. Content, this has received various negative responses from various parties. It is feared that the younger generation of Indonesia will be busy playing gambling if the government sets taxes on the prohibited game.
The discourse of taxing online gambling was issued from the Ministry of Communication and Information during a meeting with Commission I of the DPR RI. In the meeting, it was stated that Indonesia’s potential loss due to online gambling was large enough to require the government to impose taxes.
Deputy Chairman of Commission I of the DPR Abdul Kharis Almasyhari emphasized that taxes for online gambling are still in discourse and the majority of all members in Commission one of the DPR reject this.
“No, it’s just a discourse and those who propose also disagree because this country has regulations regarding the prohibition of gambling and the majority in commission one also disagree if online gambling games are taxed, period,” said the politician from PKS to VOI, Monday, October 9.
Abdul said the statement from the Minister of Communication and Information, Budi Arie was only a parable that only in this country prohibits gambling operations. Meanwhile, other ASEAN countries such as Cambodia legalize gambling and even collect taxes from gambling.
“All the majority agreed to be banned, period. So what is developing is how to prohibit this, online gambling is closed by a thousand, growing by ten thousand. To be effective in how to close it,” he said.
Minister of Communication and Information Budi Ari Setiadi emphasized that the government will not apply taxes for online gambling. He added that currently the government will still eradicate all gambling practices in the country.
“No, it’s still (the discourse), just wait, the important thing is that our task is to eradicate online gambling,” said Budi Ari after a working meeting with Commission I of the DPR RI, (4/9).
He also emphasized that until now gambling is an illegal act in Indonesia. Budi emphasized this because if the tax discourse is realized, it means also legalizing online gambling.
“Until now gambling is an illegal act in Indonesia. So, everyone who does gambling or acts of gambling must face the law,” he said.
The law that prohibits online gambling is contained in article 27 of the ITE Juncto Law article 45 paragraph 2 Number 19 of 2016. It is stated that the article contains a prohibition on acts containing gambling. The punishment for those who violate is that they are sentenced to a maximum imprisonment of 6 years and/or a maximum fine of Rp1,000,000,000.00 (one billion rupiah). In the criminal law book, gambling is regulated in article 303.
Chairman of the Muhammadiyah Central Executive Haedar Nashir, also spoke out on the proposal for tax levies from online gambling. According to him, the discourse actually raises the impression that the government is ambiguous. On the one hand, it gives leeway to things that damage the morality of the younger generation and on the other hand want to legalize by imposing taxes.
He asked the government to seriously study the rise of online gambling. The government is also expected to make policies that are productive, conducive, constructive, and positive for the younger generation as the nation’s future.
Tax observer from the Center for Indonesia Taxation Analysis (CITA) Fajry Akbar said that levies for online gambling taxes could be carried out through value added tax and trade through electronic systems (PPN PMSE). The problem is that if this is used it will go against the rules in other laws on gambling.
“It is also impossible for us to impose excise duty but in other laws such as in the Criminal Code and the ITE Law prohibiting gambling activities,” explained Fajry in a written statement.
Income from Gambling includes PPh
Regardless of winning or losing when playing online slots, the income from online gambling can be categorized as income tax (PPh). This is regulated in Article 4 paragraph (1) of the PPH Law (UU Number 7/183 with the last amendment in accordance with Law Number 6/2023 concerning Job Creation.
So, income according to these provisions includes five elements. First, there is an additional economic ability. Second, the income has been received (cash basis) or obtained (accrual basis). Third, the source can be from within the country or outside Indonesia. Fourth, these incomes can be used for consumption or increase wealth. And fifth, its name and form can be anything.
Executive Director of the Pratama-Kreston Tax Research Institute (TRI) Prianto Budi Saptono explained that the current gambling game process can be included in the economic underground. The economic background is a legal and illegal production and sale of goods and services, but these activities are not recorded and registered in tax records, do not refer to labor regulations and are not included in the social security system.
Prianto said the income from gambling games was included in the tax object. He also added that when checking, the tax office does not care whether the income earned is halal or haram religiously or not based on positive laws in force in Indonesia.
“The tax office does not see whether the income comes from a source that is halal or haram religiously or legally positive in force in Indonesia,” he said.
The Dangers Of Online Gambling And Online Loans
The discourse on online gambling tax is considered to legalize gambling practices in Indonesia. It is feared that legalizing gambling will lead to illegal gambling sites in the country. And tax collection for online gambling is not a proper solution.
Read more https://voi.id/en/tulisan-seri/318612
