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

JT to Launch New Ploom Stick Variant “EVO Sakura Regular” Nationwide in Japan on April 6
JT to Launch New Ploom Stick Variant “EVO Sakura Regular” Nationwide in Japan on April 6
JT said it will begin rolling out “EVO Sakura Regular,” a new product under the premium EVO brand for the heated tobacco brand Ploom, at convenience stores and tobacco retailers across Japan from April 6. The product has already been on sale since February 3 through the CLUB JT online shop and Ploom Shops nationwide.
Mar.13 by 2FIRSTS.ai
West Virginia House Passes 5% Income Tax Cut and Rejects Vape Tax Increase
West Virginia House Passes 5% Income Tax Cut and Rejects Vape Tax Increase
The West Virginia House of Delegates debates income tax cut bill before session's end, rejecting Senate's e-cigarette tax amendment.With one day left in the legislative session, the West Virginia House spent more than an hour debating amendments to an income tax reduction bill.
Mar.16 by 2FIRSTS.ai
Patent Reveals China Tobacco Hubei Industrial Testing Animal Model for Heated Tobacco Safety Evaluation
Patent Reveals China Tobacco Hubei Industrial Testing Animal Model for Heated Tobacco Safety Evaluation
China Tobacco Hubei Industrial Co., Ltd. has published a patent describing a laboratory method to evaluate the reproductive and developmental safety of heated tobacco products using non-human animal exposure models. The approach introduces a structured toxicological testing framework that could support safety verification, quality control, and regulatory evidence generation for heated tobacco products.
Mar.09
Special Report|Reynolds’ 337 Patent Case Ends, but a Harsher 337 Compliance Battle Now Targets the Entire Vape Supply Chain
Special Report|Reynolds’ 337 Patent Case Ends, but a Harsher 337 Compliance Battle Now Targets the Entire Vape Supply Chain
The U.S. International Trade Commission (ITC) has terminated Investigation 337-TA-1410 after invalidating key vape patent claims asserted by R.J. Reynolds Vapor Company, removing the immediate risk of import bans for dozens of companies. However, a new case—337-TA-1486—has already opened a more consequential legal front, shifting the focus from patent disputes to regulatory compliance across the vape supply chain, including PACT Act reporting, tax compliance, and FDA marketing authorization.
BAT
Mar.11
BBC survey: over half of secondary teachers in England say vaping is a problem at their school
BBC survey: over half of secondary teachers in England say vaping is a problem at their school
Granville Academy in Swadlincote, Derbyshire, has joined a county pilot overseen by Derbyshire County Council that puts pupils in charge of reducing vaping in school. After reports of pupils stealing vapes, vaping in toilets and using them while walking home, the school found detentions were not effective and shifted to peer-led education sessions, assemblies and health-warning signage.
Feb.05 by 2FIRSTS.ai
Florida AG announces largest illegal vape seizure in state history, 2,183 contraband devices seized
Florida AG announces largest illegal vape seizure in state history, 2,183 contraband devices seized
Florida’s attorney general announced a record-breaking statewide enforcement push against illegal vaping products, with four joint operations seizing 2,183 contraband vapes and additional nitrous oxide-related items. Regulators also reported removing thousands of noncompliant products from store shelves, while investigations remain ongoing.
Feb.09 by 2FIRSTS.ai