Effective 18 August 2026, the Indonesian Tax Directorate General mandated that all crypto-asset service providers (CASPs) and relevant financial institutions obtain valid self-certification forms from clients under the Crypto-Asset Reporting Framework (CARF). This announcement operationalizes Indonesia’s commitment to the OECD’s CARF, endorsed by the G20 in 2022, which extends AEOI principles to crypto-assets and stablecoins. The requirement is grounded in PMK-107/2017 as amended and the Minister of Finance Regulation on CARF implementation. CASPs — including exchanges, wallet providers, and platforms facilitating crypto-asset transfers — must collect self-certifications at onboarding and upon any change in client tax residency. The forms must follow the OECD’s standardized CARF self-certification templates, capturing taxpayer identification numbers, tax residencies, and entity classifications specific to crypto-asset activities. This measure aligns Indonesia with over 100 jurisdictions committed to first CARF exchanges by 2027.
Key Takeaways
- Expanded Scope to Crypto-Asset Service Providers: The self-certification obligation now covers all entities providing crypto-asset trading, transfer, custody, or administration services. This includes both domestic platforms and foreign platforms serving Indonesian residents, broadening the compliance burden beyond traditional financial institutions.
- CARF-Specific Data Requirements: Self-certification forms must capture crypto-specific identifiers such as wallet addresses, blockchain networks used, and transaction types. Controlling person disclosures are required for entity account holders, with a 25% ownership threshold, consistent with CRS but adapted for crypto-asset holding structures.
- Implementation Timeline and Penalties: CASPs must integrate CARF self-certification into onboarding workflows immediately. Retroactive collection for existing accounts is required by 31 December 2026. Failure to obtain valid forms triggers mandatory reporting as “undocumented accounts” and exposes operators to administrative fines under tax collection laws, potential license reviews by BAPPEBTI, and reputational risk in global compliance assessments.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement