Entertainment Tax

notarisdanppat.com – Get to know Entertainment Tax: Types and Rates , Entertainment is one of the human needs that cannot be separated from everyday life. Various types of entertainment are available to accompany leisure time and provide pleasure. In the midst of busyness and daily routines, enjoying entertainment is one way to unwind and refresh the mind. Whether it’s watching concerts, movies at the cinema, singing karaoke, or simply playing games, all of these activities provide valuable moments of relaxation. In enjoying these entertainment activities, there are tax obligations that must be paid, namely entertainment tax, which is a form of community contribution to the state obtained from various types of entertainment activities.

Definition of Entertainment Tax

Entertainment tax is one type of tax imposed on entertainment businesses and consumers who enjoy entertainment. Entertainment tax is a tax levied on the provision of entertainment and collected by local governments in Indonesia. Referring to Law Number 1 Year 2022, entertainment tax is included in the category of Specific Goods and Services Tax (PBJT). PBJT itself is a type of tax charged to the final consumer for the purchase of certain goods and/or services. In other words, this tax is imposed on the person who uses or enjoys the goods and/or services.

Legal Basis of Entertainment Tax

Entertainment tax is regulated in Law Number 28 Year 2009 on Regional Taxes and Levies (PDRD) and updated with HKPD Law Number 1 Year 2022. However, for the technical rules of implementation, it is further regulated through Regional Regulations (Perda) in each region. Entertainment tax is a local tax collected from citizens by local governments in certain regions.

Entertainment Tax Subject

Entertainment Enjoyers: Individuals or entities who enjoy entertainment.
Entertainment Organiser: An individual or entity that organises entertainment.

Basis for Imposition of Entertainment Tax

The tax base on entertainment is the amount received or expected to be received by the entertainment organiser. This includes:

Ticket price or admission fee
Discounts given to patrons
Value of free or complimentary tickets given to certain parties

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Types of Taxable Entertainment

Entertainment tax, also known as Specific Goods and Services Tax (BPJT), is one of the taxes imposed by local governments on entertainment. Based on Article 55 of the Law on Financial Relations between the Central and Local Governments (HKPD), the following types of arts and entertainment services are subject to tax:

Spectacle: Films, art performances, music, dance, and/or fashion.
Contests: Beauty, bodybuilding, and the like.
Exhibitions: Various types of exhibitions.
Night Entertainment: Discos, karaoke, nightclubs, and the like.
Performances: Circus, acrobatics, magic, and others.
Games: Billiards, golf, bowling, horse racing, motorised vehicles and agility games.
Relaxation: Massage parlours, reflexology, steam baths/spas, and fitness centres.
Sports: Sporting events.

Although the PDRD Law has mentioned the types of entertainment that are taxable, local governments can exclude certain types of entertainment.

Entertainment Tax Rate

The entertainment tax rate is usually 10%. However, based on BPJT’s rates for entertainment services, the rate is set at a minimum of 40% and a maximum of 75%. Based on this range of rates, the exact rate of entertainment tax is determined by each local government through local regulations.

How to Calculate Entertainment Tax

To calculate the tax on entertainment, the total payment received from consumers is multiplied by the applicable entertainment tax rate. The result of the multiplication is the amount of entertainment tax that must be paid.


A consumer pays Rp100,000 for karaoke.
The entertainment tax rate for watching a music performance is 40%.
Therefore, the entertainment tax payable is IDR 40,000 (IDR 100,000 x 40%).

Another example:

Dewi and 2 of her friends watch a movie at a cinema in Jakarta with a ticket price of Rp50,000.00 The price does not include the entertainment tax rate of 10%. Then the cost of watching the film that Dewi and her friends have to pay including the tax rate is:

Total price of the film ticket:

= Rp50,000.00 x 3 people

= Rp150,000.00

Tax rate:

= Tax rate x Total price

= 10% x IDR150,000.00

= IDR15,000.00

Total film cost + tax:

= Total price + Tax rate

= Rp150,000.00 + Rp15,000.00

= Rp165.000,00

So that the taxpayer who organises entertainment to deposit to the local government is IDR15,000 for the film ticket tax paid by Dewi.

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