Insight

Indonesia Eyes AI for New Tax Revenue

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Algo Research Team

Industry | May 16, 2025 | Views: 138

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Key Summary:

  • AI platforms remain underutilized as taxable digital objects
  • VAT and income tax could capture AI growth
  • Indonesia ranks among top ChatGPT user globally

The widespread adoption of artificial intelligence (AI) in Indonesia presents a growing opportunity for the government to monetize as a source of the country’s tax revenue.


Context: Executive Director of the IEF Research Institute, Ariawan Rahmat, highlighted the urgent need for the Indonesian government to respond to the rapid expansion of cross-border AI technologies.

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