Blocking forex broker access in Indonesia is nonsense

There are still some foreign brokers that can be opened.
We believe foreign brokers are affected by positive internet. There is another way to access them, try using this service:

• unblock-proxy
• proxyonline.ro

There are also solutions and tips for opening access to blocked websites on this page.

To deal with the law, of course, we need preparation. and need to be considered because we could be entangled in the law for being considered as violating it.

Thanks.

With a plugin or web-based proxy, all data passes through a third party before reaching its destination. So it is very risky for user and trading passwords to be stolen. Meanwhile, I am using a broker that has not yet been blocked. However, it is uncertain whether it will remain safe or be blocked in the future. And if Bappebti declares these large brokers illegal/without a license, what is our status as traders??? I want to pay income tax, not with a 0 norm. Can I be criminalized for transacting with an illegal broker according to Bappebti?

1. Basically, there are no laws stipulating penalties for transacting with brokers that are not registered in Indonesia. Unlicensed brokers are prohibited from operating in Indonesia, but there is no article prohibiting traders from using the services of foreign brokers that are not registered in Indonesia. The laws used as the basis by Bappebti and Kominfo contain criminal threats for people who run brokerage services without a license, but do not address the issue of traders. You cannot be criminalized simply for choosing to use the services of a foreign broker.

2. If you are worried about using a proxy to access blocked foreign brokers, try a VPN. Or try using a provider not affiliated with the government. Providers from state-owned enterprises clearly have to carry out blocking, but other providers may not necessarily. Or, choose a foreign broker that is understanding enough to provide alternative links for Indonesian traders. The main link may be blocked, but the alternative links are usually undisturbed.

3. Income from forex trading in Indonesia has not yet been specifically taxed. So, you don't need to worry about paying taxes on forex trading. Moreover, as mentioned earlier, there are no criminal threats to traders using foreign brokers. Take a look at the Law. Also, isn't tax reporting not required to be accompanied by mentioning with which broker you are trading!? It should also be noted that the income tax reporting system in Indonesia is self-assessment.

Thank you for the explanation. Points 1 and 2 are now clearly understood.

Regarding point 3, there are currently no specific tax regulations regarding forex, so if you want to report and pay taxes, you use the non-fixed income tax with a norm of 0.

So, reporting (if you want to) is only for the funds withdrawn each year. Funds in the broker are tax-free as long as they haven't been withdrawn because they are still at risk.

Now, why am I determined to report taxes even though the system here is self-assessment?
Besides my personal feeling of obligation to pay, it is also obligatory to enjoy further profits from forex, for example, buying a house and others. Because a NPWP (and source of funds) will be required to take care of the intricacies of the purchase.

Once again, thank you for the explanation, so I can calmly take care of the NPWP later. Hopefully this information is also useful for other traders.

Regards.

All brokerage companies that do not have a license in Indonesia (Bappebti) are considered illegal and unlicensed by Bappebti, therefore Bappebti blocks these companies and their links. However, these brokerage companies are declared legal outside of Indonesia because they have licenses and regulations in countries outside of Indonesia.

Thank you, hopefully this helps.

yes, of course, a legitimate foreign broker wouldn't want to register with BAPPEPTI because their standards are far below those of foreign brokers....(because local brokers are mostly market makers.)...clearly, all this blocking is unfair business competition.

So, was that a wrong decision by Bappebti or on the President's orders? Just a suggestion, the newly elected President should cancel this decision that makes things difficult for traders.

Saut Siagian....

On one hand, if thought about with clear thinking....it is necessary for foreign brokers to register with BAPPETI...the reason is that they are entering Indonesian territory and so that they pay taxes in Indonesia and that adds to revenue....that's according to me.

Could you please provide information on foreign or local brokers that you, experienced traders, consider legal and safe, for my comfort in transacting? 🙏

@Okhe

Regarding popular local brokers in Indonesia, you can see them on the following page.

As for foreign brokers, you might check here.

Thank you.

@Aisha

Article 49 of Law No. 10 of 2011 states:

(1) Every Party is prohibited from engaging in Futures Trading activities, except as permitted under the provisions of this Law and/or its implementing regulations.

@Indra Bayu CG it must be understood that what is blocked is the broker's website, not MT5. Meanwhile, the password for forex trading is sent via email. In my opinion, it's still quite safe, when the password is sent just turn off the VPN, especially now that brokers already have their own applications on Android, from registration to deposit everything can use the application on Android and you don't need to use a VPN. Just focus on trading strategy to make a profit, earning money is difficult anyway, consider this a small obstacle and don't worry about it.

@Pacitano
Explanation of Indonesian Republic Law No. 10 of 2011
Article 57 paragraph 2 Letter b
All mandates of futures contracts, Islamic derivative contracts, and/or other derivative contracts from customers must be channeled for transactions on the futures exchange. Self-settled transactions (BUCKETING) by futures brokers outside the futures exchange are prohibited.

@Pacitano please show Indonesian broker companies that are not market makers? We traders also don't want to bother using foreign brokers, but domestically we are being cheated and manipulated. A broker is a friend who can be trusted by traders, if the broker becomes a market maker and opposes traders, please explain how we can profit? While the market maker wants traders to lose so they can keep depositing and the market maker broker can survive. We are analytical traders, traders who analyze the forex market with knowledge and analysis, don't force us to gamble with market makers, every position we enter is based on technicals, fundamentals and trend direction, not just random guesses like gambling. Please don't talk about the law, I am smarter than you.

BAPPETI is no different than the OJK....shouting about taxes like thugs but with ZERO responsibility....like the OJK being convoluted in handling the Jiwasraya case...several Traders also had their money taken by local brokers regulated by Bappeti..but the results were nil when there were trader complaints they were abandoned...so the conclusion is just like market thugs, just wanting to extort money...there is no trader protection...

Please provide information on credible brokers whose price movements on real accounts match the actual price movements. Because on some brokers, the price movements on demo accounts match the actual price movements, but on real accounts their price movements differ from the actual price movements.

@Parkel
It's hard to find a good broker. That's just how it is.. there are a lot of fraudulent brokers.
Try registering with a broker with FCA regulation from the UK, I use a broker regulated by the FCA in the UK, I get honest quality charts. WD is also paid. If it's not registered with the FCA I give up, fraudulent brokers are dishonest.

Many rogue brokers manipulate charts like that, why are they still operating? They receive bad reviews from users. For example, broker A uses 2nd tier regulator X. There are many complaints from users, but X does not respond. Can a 1st tier regulator, like Y, intervene to dissolve broker A?

To Wahyu,

That is why we always recommend using a broker regulated by a credible regulatory body. A credible regulatory body, in this case, not only provides security of funds and a comfortable trading environment, but also provides fast complaint services.

That way, if you find a case of fraud / feel disadvantaged (cheated) by a broker and are supported by strong evidence, you can report it to the regulatory body. A credible regulatory body will of course process all incoming reports. Not a few brokers have had their licenses revoked by credible regulatory bodies because they were proven to have committed fraud/scam.

"Can a 1st tier regulator like Y intervene to disband broker A?"

No can do. Because that is not their authority. The regulatory body only supervises and takes action against registered members or those under its auspices. Therefore, you can imagine how dangerous and high the risk is if you do not use a broker regulated by a credible regulatory body.

Hopefully this helps.