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

KT&G says lil reached about US$2.924 billion in cumulative sales and is expanding overseas
KT&G says lil reached about US$2.924 billion in cumulative sales and is expanding overseas
KT&G said its HNB brand lil has grown since launch, reporting KRW 7.8 billion (about US$5.304 million) in sales in 2017 and about KRW 4.3 trillion (about US$2.924 billion) in cumulative sales by last year’s third quarter, with KRW 5 trillion (about US$3.400 billion) described as within reach. KT&G said lil has entered more than 30 countries and supplies some products abroad via a partnership with PMI.
Jan.13 by 2FIRSTS.ai
BlackRock Enters Top Shareholder Ranks as KT&G Holding Reaches 5.01%
BlackRock Enters Top Shareholder Ranks as KT&G Holding Reaches 5.01%
BlackRock increased its stake in KT&G to 5.01% after purchasing 68,646 shares, bringing total holdings to 5,914,169 shares and triggering Korea’s large-shareholding disclosure rules. KT&G shares climbed to an all-time intraday high of 153,900(about US$106.19) won and closed at a record 152,900(about US$105.50) won. KT&G is set to report earnings on Feb. 5, with consensus pointing to year-on-year growth in revenue and operating profit.
Jan.30 by 2FIRSTS.ai
Poland to ban “characterising flavours” in heated tobacco sticks from Jan. 18, 2026
Poland to ban “characterising flavours” in heated tobacco sticks from Jan. 18, 2026
Poland will implement an amended health protection law on January 18, 2026, restricting the availability of tobacco inserts used in heated tobacco devices. The new rules prohibit products with a “characterising flavour,” meaning a clearly noticeable taste or smell other than tobacco, derived from additives and detectable before or during use.
Jan.20 by 2FIRSTS.ai
Azerbaijan Considers Comprehensive Ban on E-cigarettes
Azerbaijan Considers Comprehensive Ban on E-cigarettes
Azerbaijan is advancing legislative amendments to prohibit the circulation of electronic cigarettes and their components. The proposed changes, discussed at a joint meeting of several parliamentary committees, aim to ban the import, export, production, storage, wholesale and retail sale, and use of e-cigarettes.
Dec.17 by 2FIRSTS.ai
Mexico’s Congress Prepares Total Ban on Vapes and E-Cigarettes
Mexico’s Congress Prepares Total Ban on Vapes and E-Cigarettes
Mexico’s Chamber of Deputies is preparing to vote on several major bills before the end of the legislative session, including a full ban on vapes and e-cigarettes. The proposed reform to the General Health Law would prohibit the manufacturing, sale, import, and export of these products, imposing penalties of up to eight years in prison and fines exceeding 200,000 pesos (approximately USD 11,000). L
Dec.09 by 2FIRSTS.ai
Product | 22ml Combined E-Liquid Supply, Rated for 35,000 Puffs: OXBAR Launches the OX35K Open-System Pod Device
Product | 22ml Combined E-Liquid Supply, Rated for 35,000 Puffs: OXBAR Launches the OX35K Open-System Pod Device
The vaping brand OXBAR has recently listed its open-system, refillable pod device OX35K on its official website. The product features a “2ml built-in pod + two 10ml external refill bottles” e-liquid supply structure and supports top refilling, with a claimed puff count of up to 35,000. It is equipped with a 1000mAh built-in battery and offers dual power modes—BOOST and ECO—positioning the device to balance high-puff performance with an open-system form factor.
Jan.13 by 2FIRSTS.ai