Reformulating the Object of Value Added Tax (VAT) in the Digital Era in Indonesia

• Dr. Bonarsius Sipayung, S.E., M.Ak
• 2026
• Perpajakan

The digital economy has transformed the way people obtain, use, and pay for economic benefits. Software is no longer necessarily purchased as a copy; content is consumed through subscriptions; computing capacity is acquired on a pay-per-use basis; and platforms bring many parties together within a single chain of transactions. These changes call for a VAT law that remains anchored in the principle of legality yet is able to discern the substance of consumption accurately.

This book examines the reformulation of the VAT object in Indonesia by integrating legal analysis, the economics of consumption taxation, digital business models, tax administration, and international comparison. Its aim is not to expand taxation without limit, but to establish criteria that are neutral, verifiable, and workable, and that safeguard taxpayers’ rights. Readers are offered a framework for assessing the benefit consumed, the place of consumption, the party responsible, and the evidence required.