MUI Fatwas Define Fair Tax Principles; DGT Pushes Coretax

The Indonesian Ulema Council (MUI) issued several tax fatwas at its 11th National Conference. The fatwas set out principles of fair taxation under Islamic law, including a financial‑capacity threshold of 85 grams of gold (nisab for zakat mal). The Directorate General of Taxes (DGT) will carry out tabayun to review the fatwas.

The fatwas limit tax liability to taxpayers whose assets exceed 85 grams of gold and to productive assets or secondary and tertiary needs. DGT is drafting a regulation for the global minimum tax and conducting outreach to selected taxpayers, while only 3.32 million taxpayers (22.53 % of 14.78 million) have activated Coretax accounts, including 572,012 corporate taxpayers (50.84 %).

Full deployment of Coretax aims to improve compliance and tax data exchange, and the global minimum tax rule aligns Indonesia with multilateral standards. Extending the indefinite MSME final income‑tax facility to sole proprietorships broadens relief for small businesses, potentially encouraging formalization and economic growth.