TEMPO.CO, Jakarta - The Indonesian Online Media Association (AMSI), in collaboration with several press organizations, has called on the government to eliminate the Value Added Tax (VAT) levied on the media industry and educational resources. This call was made through the #NoTaxforKnowledge campaign, which aims to broaden public access to information and knowledge.
AMSI contends that the taxation of media outlets, books, and academic publications serves as a barrier to the public's ability to access high-quality information. Consequently, the association is advocating for fiscal policies that foster a healthy, sustainable, and accessible information ecosystem for all citizens.
"Indonesia currently maintains one of the highest VAT rates in the ASEAN region regarding knowledge sources, with rates reaching between 11 and 12 percent. In contrast, Vietnam imposes a mere 5 percent VAT, while Singapore stands at 8 percent," AMSI noted in an official statement released on Monday, January 12, 2026.
Communication observer Usman Kansong expressed strong support for the #NoTaxforKnowledge campaign, noting that only three ASEAN nations, namely Indonesia, Singapore, and Vietnam, still impose VAT on the media. "On paper, Indonesia leads with the highest VAT burden, ranging from 11 to 12 percent," he remarked.
According to Usman, the Minister of Finance possesses the discretionary authority to revise media-related tax structures. He emphasized that the abolition of VAT is vital not only for the survival of the press but also for the struggling book industry, which currently faces heavy tax pressures and rampant intellectual property piracy.
Usman further argued that the current tax burden is becoming increasingly untenable for a media industry that continues to bear the responsibility of maintaining national unity. He believes that despite these economic pressures, the press remains a cornerstone of social cohesion.
He also highlighted the unique challenges posed by the digital era, including the spread of hoaxes and the rapid advancement of artificial intelligence. In this landscape, he maintains that mainstream media plays an indispensable role by providing fact-based, verified information that serves as a bulwark against misinformation.
AMSI, the Indonesian Publishers Association (IKAPI), various press unions, and several universities have formed a coalition for this campaign. They argue that the sustainability of the media and publishing sectors is fundamental to the health of democracy and the ongoing development of national knowledge.
The coalition also warned that widespread media bankruptcy would exacerbate the information gap and lead to a surge in unemployment within the creative sector. Akhmad Munir, Chairperson of the Indonesian Journalists Association (PWI), asserted that significant state support is required to ensure the long-term viability of the media industry.
Munir confirmed that AMSI, PWI, and other press organizations have submitted requests for tax incentives to the government. "The state must provide meaningful incentives and cost relief to alleviate the operational expenses that are currently crippling media organizations," Munir stated.
He noted that the urgency of this issue escalated throughout 2025 as many media companies were forced to conduct mass layoffs. He urged the government to implement strategic interventions similar to the support programs launched during the Covid-19 pandemic.
"Tax incentives are expected to be part of the commemoration of National Press Day 2026 and a gift for the press community," he added.
Munir also pointed out that media revenue has plummeted as advertising budgets have shifted toward global digital platforms. As a result, press organizations are now lobbying for a three-pronged policy approach: tax incentives, the protection of journalistic copyright, and the strengthening of Publisher Rights through legislation.
The #NoTaxforKnowledge campaign is set to continue through the National Press Day commemorations on February 9, 2026. PWI remains confident that the abolition of VAT would not compromise the media industry’s independence.
"Journalists and media companies still have a moral responsibility to oversee the state through credible and data-driven journalism," Munir concluded.
Read: Fading Press Freedom
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