Illegal Cigarette Sales and Tax Evasion in Magelang, Indonesia

Regulations by 2FIRSTS.ai
Jan.11.2024
Illegal Cigarette Sales and Tax Evasion in Magelang, Indonesia
Illegal cigarette sales continue in Magelang City, Central Java, Indonesia, despite the government's increasing tobacco taxes.

According to a January 9 report by the Indonesian newspaper "KOMPAS," despite the government's ongoing efforts to increase cigarette taxes, there is still illegal sale of cigarettes occurring in Magelang City, located in Central Java Province. In these locations, some illegal cigarettes are using counterfeit tax stamps.

 

Since January 2024, the government has implemented an upgraded tobacco tax rate policy. According to Regulation No. 191 issued by the Ministry of Finance in 2022, the tobacco tax for traditional cigarettes has increased on average by 10%, while the tax rate for e-cigarettes has risen by an average of 15%. Additionally, the average tax rate for other tobacco products has increased to 6%.

 

This policy has prompted some smokers to reconsider their expenses, such as 33-year-old Fajar Dharmawan. He stated that due to the increase in tobacco taxes in 2021, he has turned to the relatively more affordable option of e-cigarettes.

 

Although this tax policy may seem to swiftly restrain user behavior, its objective is not only to control health issues caused by cigarettes but also to increase government revenue.

 

The Indonesian tobacco industry aims to achieve a tax revenue target of 230.4 trillion rupees in 2023, accounting for 95% of the total tobacco tax revenues for that year.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Myanmar announces ban on e-cigarettes, covering imports/exports, sales, possession and use
Myanmar announces ban on e-cigarettes, covering imports/exports, sales, possession and use
Myanmar’s Ministry of Health said it has received cabinet authorization to enforce an e-cigarette ban under the Essential Supplies and Services Law, listing prohibited acts including the import, export, sale, possession, storage, carrying, distribution and use of vaping products.
Feb.26 by 2FIRSTS.ai
Japan Tobacco International Malaysia Appoints Didier Ellena as Managing Director; Predecessor Reassigned to North Asia Role
Japan Tobacco International Malaysia Appoints Didier Ellena as Managing Director; Predecessor Reassigned to North Asia Role
Japan Tobacco International (JTI) Malaysia has appointed Didier Ellena as managing director, effective Jan 5. Ellena has spent more than 30 years with JTI and has held leadership roles across multiple countries and regions. His predecessor, Juliana Mohd Yahaya, will become vice president of sales and marketing for JTI North Asia.
Jan.15 by 2FIRSTS.ai
Five Inner West Sydney shops shut for 90 days after 780,000 illicit cigarettes and 2,200 illegal vapes seized
Five Inner West Sydney shops shut for 90 days after 780,000 illicit cigarettes and 2,200 illegal vapes seized
NSW Health has shut down five Inner West Sydney stores for 90 days after a major seizure of illicit cigarettes and illegal vapes, with two additional premises in Northern NSW also served closure notices. The action forms part of a broader crackdown that has seen 66 stores closed since new laws took effect in late 2025, with NSW Health warning further enforcement — including prosecution — may follow.
Feb.09 by 2FIRSTS.ai
Consultation opens for Tasmania’s Public Health Amendment Bill 2026
Consultation opens for Tasmania’s Public Health Amendment Bill 2026
Consultation opened on February 6, 2026 for the Public Health Amendment (Prohibited Tobacco and Other Products) Bill 2026. The Bill intends to address illicit trade in tobacco, nicotine pouches and e-cigarettes, which has increased significantly across Tasmania in recent years. It proposes changes to the Public Health Act 1997 to further protect the health of Tasmanians by reducing the sale and supply of illicit tobacco, vaping and other products, and to strengthen existing tobacco control laws.
Feb.06 by 2FIRSTS.ai
USITC Issues Final Ruling in 337-TA-1392 Investigation, Imposes Limited Exclusion Order and Cease and Desist Orders
USITC Issues Final Ruling in 337-TA-1392 Investigation, Imposes Limited Exclusion Order and Cease and Desist Orders
USITC issues final ruling on oil vaporizing devices, components violating tariff law, with limited exclusion order and cease-and-desist orders.
Jan.21 by 2FIRSTS.ai
Malaysian police raids across five states: 51 held and over RM1 million in vapes seized
Malaysian police raids across five states: 51 held and over RM1 million in vapes seized
Police in Malaysia detained 51 individuals and seized over RM1 million worth of electronic cigarettes and liquid refills in a five-state operation dubbed “Op E-CIG,” conducted by the GOF Central Brigade on February 10. The report said the operation involved 30 raids across Kuala Lumpur, Johor, Melaka, Selangor and Negeri Sembilan. Authorities seized 2,263 vape units and 165.463 litres of liquid.
Feb.12 by 2FIRSTS.ai