Summary
From tax year 2026, income earned by crypto asset miners in Indonesia is no longer subject to the 0.1% final PPh Article 22. Under Minister of Finance Regulation No. 50 of 2025 (MoF Reg 50/2025), mining rewards now fall under general PPh rates of Article 17 of the Income Tax Law. On the VAT side, verification services rendered by miners remain Taxable Services (JKP), but the specific-rate VAT rises from 1.1% to 2.2%. This guide walks through the legal basis, mechanism, rates, filing, and worked examples in sequence.
What Is a Crypto Asset Miner
A crypto miner provides verification services for transactions on a blockchain network. Compensation comes as block rewards (newly minted crypto assets) and transaction fees paid by network users.
In the Indonesian tax context, miners include:
- Proof-of-work miners (Bitcoin, Litecoin, and similar networks).
- Proof-of-stake validators receiving staking rewards through active participation (not mere passive delegation through an exchange).
- Mining pool operators that aggregate computing power and distribute rewards.
Hobbyist mining without an income orientation may have a debatable classification; however, as long as identifiable Rupiah-measurable rewards are received, the tax authority generally treats it as income.
Legal Basis
- MoF Regulation No. 50 of 2025 on Value Added Tax and Income Tax on Crypto Asset Trade Transactions. Articles 2 to 6 govern VAT and PPh treatment for crypto transactions and miners.
- Law No. 7 of 1983 on Income Tax, as last amended by Law No. 7 of 2021 on Harmonization of Tax Regulations (HPP Law), in particular Article 17 on PPh rates.
- Law No. 8 of 1983 on VAT, as amended by the HPP Law, in particular Article 3A (PKP registration obligation) and Article 4A (JKP scope).
- Law No. 4 of 2023 on Financial Sector Development and Strengthening (UU P2SK), which reclassified crypto assets from commodities to digital financial assets.
How the Tax Works
Two tax layers touch the miner simultaneously: PPh on income and VAT on verification services.
PPh on Mining Rewards
Block rewards and transaction fees received by the miner are recognized as income at the moment the crypto asset enters the miner's wallet. The Rupiah value is set using the Ministry of Finance tax rate of exchange or the conversion rate available on a domestic crypto exchange at the time of realization.
Individual miners calculate net income using one of two methods:
- Full bookkeeping, recognizing expenses that meet the 3M test (earning, collecting, maintaining income) under Article 6 of the PPh Law.
- Net Income Calculation Norm (NPPN) under Article 14, available only if verification-service turnover stays under IDR 4.8 billion per year and notification is filed with the DGT.
Corporate miners must use full bookkeeping.
VAT on Verification Services
Verification services rendered by miners to the blockchain network are JKP. MoF Reg 50/2025 sets the specific-rate VAT at 2.2% of the converted value of crypto assets received as consideration.
Miners must register as PKP if verification-service turnover exceeds IDR 4.8 billion in a single book year. Below that threshold, PKP status is optional. PKP miners must issue tax invoices and remit VAT monthly.
Rates and Thresholds
PPh Rates
| Taxpayer | Rate | Basis |
|---|---|---|
| Individual: Bracket 1 (up to IDR 60M) | 5% | Article 17(1)(a) PPh Law |
| Individual: Bracket 2 (IDR 60M - 250M) | 15% | Article 17(1)(a) PPh Law |
| Individual: Bracket 3 (IDR 250M - 500M) | 25% | Article 17(1)(a) PPh Law |
| Individual: Bracket 4 (IDR 500M - 5B) | 30% | Article 17(1)(a) PPh Law |
| Individual: Bracket 5 (above IDR 5B) | 35% | Article 17(1)(a) PPh Law |
| Corporate | 22% | Article 17(1)(b) PPh Law |
Specific-Rate VAT
| Period | Rate | Basis |
|---|---|---|
| 2022 through July 2025 | 1.1% | MoF Reg 68/PMK.03/2022 |
| From 1 August 2025 | 2.2% | MoF Reg 50/2025 |
PKP Threshold
Verification-service turnover reaching IDR 4.8 billion within one book year triggers mandatory PKP registration under Article 3A of the VAT Law. Income from the sale of crypto assets received by the miner (when selling rewards into Rupiah) is calculated separately: for transactions through a domestic PPMSE, a 0.21% final PPh Article 22 applies to the transaction value.
How to File
Miner reporting obligations come in layers. The usual sequence:
- Activate a Coretax account and confirm that the NPWP is registered at the nearest KPP.
- For VAT, file the monthly VAT return (SPT Masa PPN) by the end of the following month. PKP miners must issue electronic tax invoices via e-Faktur using the special code for crypto verification services.
- For PPh, file the annual individual return (1770) by 31 March of the following year, or the annual corporate return (1771) by 30 April of the following year.
- Maintain a ledger with columns: date received, coin type, unit quantity, Rupiah conversion rate at realization, Rupiah value, and block reference.
- Archive electricity bills, data center rental, internet bills, and rig purchase receipts as supporting cost documents.
Worked Example
Budi is an individual miner running an ASIC rig in Banten. Throughout 2026, Budi receives rewards equivalent to IDR 720 million (value at the time of realization). Operating costs that meet the 3M test total IDR 280 million (electricity IDR 180M, rig depreciation IDR 60M, rent IDR 40M).
PPh Calculation
Net income: IDR 720M minus IDR 280M equals IDR 440M.
PTKP K/2 (married, 2 dependents): IDR 67.5M.
Taxable income: IDR 440M minus IDR 67.5M equals IDR 372.5M.
PPh due is calculated bracket by bracket:
- IDR 60M x 5% = IDR 3M.
- IDR 190M x 15% = IDR 28.5M.
- IDR 122.5M x 25% = IDR 30.625M.
Total PPh due: IDR 62.125 million.
VAT Calculation
Because Budi's verification-service turnover of IDR 720M is well below IDR 4.8B, Budi is not required to register as PKP. The specific-rate VAT still attaches to each service rendering, but handling depends on the collection mechanism in MoF Reg 50/2025. If Budi voluntarily registers as PKP, he must issue 2.2% tax invoices on the rewards received.