The Indonesian government has increased the excise duty on alcoholic beverages starting January 1, 2024.
This is stipulated in Minister of Finance Regulation (PMK) Number 160 of 2023 concerning the Excise Tariff on Ethyl Alcohol (EA), Ethyl Alcohol Containing Beverages (MMEA), and Ethyl Alcohol Containing Concentrates (KMEA).
This excise duty increase applies to domestically produced and imported alcoholic beverages.
Here is a breakdown of the excise duty rates for EA, MMEA, and KMEA effective January 1, 2024:
Ethyl Alcohol (EA)
* An excise duty of Rp20,000 per liter is levied on EA of any concentration produced domestically or imported.
Beverages Containing Ethyl Alcohol (MMEA)
* MMEA group A, or with an ethyl alcohol content of up to 5%, is subject to an excise duty of Rp16,500 per liter for domestic production/imports.
* MMEA group B, or with an ethyl alcohol content of more than 5% to 20%, is subject to an excise duty of Rp42,500 per liter for domestic production and Rp53,000 per liter for imports.
* MMEA group C, with an ethyl alcohol content of more than 20% to 55%, is subject to an excise duty of Rp101,000 per liter for domestic production and Rp152,000 for imports.
Ethyl Alcohol Containing Concentrates (KMEA)
* Liquid KMEA is subject to a charge of Rp228,000 per liter for domestic production/imports.
* Solid KMEA is subject to a charge of Rp1,000 per gram for domestic and imported products.