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Check Out The Complete Guide to Tax Refunds in Indonesia

Check Out The Complete Guide to Tax Refunds in Indonesia

PPN

20 Dec, 2023 09:12 WIB

Jakarta, Ideatax -- Check out the complete guide to tax refunds in Indonesia. Paying taxes is not just an obligation, but also a form of positive contribution that can advance the country. It cannot be denied that paying taxes is the primary obligation of every good citizen, especially for those who have been officially registered as NPWP holders (Taxpayer Identification Number).

 

By having a NPWP, a person is considered to have become part of the Taxpayer community which plays a role in supporting development and various government programs. However, on the other hand, do you know the steps for tax refunds according to Indonesian government regulations? Knowing this procedure will provide an understanding of how to participate efficiently in tax management and ensure that the tax refund process is carried out in accordance with applicable regulations.

 

Check out the complete discussion this time!

 

Guide to the Correct Tax Refund Process

In general, tax recovery steps can be carried out through several methods, such as e-filling or through a registered Tax Service Office (KPP). These methods have been clearly regulated in the Law and published by the Directorate General of Taxes (DJP) as an institution that has the relevant authority. The following is a complete guide to carrying out the tax refund process in accordance with applicable regulations.

 

1. Via e-Filling

e-Filling is a system that regulates the submission and reporting of taxes to find out the Annual Tax Return electronically. Taxpayers can submit applications directly via the official website https://djponline.pajak.go.id using the following steps.

  • Taxpayers need to fill out their SPT completely, including income issues, PTKP (Non-Taxable Income), PPh deductions from other parties, tax deductions, and others.
  • After completing the SPT via e-filling completely, the excess tax payment will be immediately returned according to the results of the audit that has been carried out.
  • Taxpayers need to prepare "Proof of Withholding" and other documents, then they can be uploaded in PDF format as archival evidence in their nominal tax return.

 

2. Submitted by registered KPP

Apart from using the e-filling method, tax refunds can also be done via the KPP (Tax Services Office). Taxpayers can directly submit their application to the KPP, then carry out the steps that have been determined according to the rules, namely:

  • Applications are submitted in writing using Indonesian. After that, Taxpayers (WP) are required to complete the personal WP form, corporate WP, the Agency does not have a Taxpayer Identification Number (NPWP), and include a power of attorney if necessary.
  • Prepare documents including original proof of tax payment, tax calculation, reasons for requesting a nominal tax refund along with the reasons.

Taxpayers who have submitted a refund request using one of the methods above usually need to wait some time. The Directorate General of Taxes (DJP) will conduct research on the Taxpayer's application, and a decision is usually issued after approximately 3 months.

 

The tax refund process can also be done through several methods, one of which is by sending postal mail and using an expedition service which is equipped with proof of delivery of the letter. This process allows taxpayers to submit documents related to tax recovery in a secure and verified manner.

 

If you want to get more detailed information regarding tax regulations or other tax-related topics, please visit the various informative articles available at https://ideatax.id/articles. Apart from that, you can also take advantage of tax consulting services from Ideatax.

 

Don't hesitate to contact Ideatax for all your tax-related needs!