The Agreement on Reciprocal Trade and Its Implications
In February 2026, the President of the Republic of Indonesia paid an official visit to the United States to attend a series of strategic meetings. A major item on the agenda was economic cooperation, culminating in the signing of the Agreement on Rec...
Read Full Article
Beneficial Ownership in Limited Liability Company Regulations
Beneficial ownership has become a cornerstone of modern corporate governance, indicating a growing emphasis on transparency regarding who ultimately controls and benefits from a legal entity. In Indonesia, this principle is reinforced by th...
Read Full Article
Tax Implications in the Establishment, Amendment, and Dissolution of Limited Liability Companies
Since its enactment in 2007, the legal framework governing limited liability companies has been amended several times. One of the most recent changes was introduced through Law of the Republic of Indonesia Number 6 of 2023, which stipulates the Gover...
Read Full Article
Criminal Liability in VAT Compliance
In January 2026, the Minister of Finance conducted a surprise inspection of two steel companies located in the Millennium Industrial Estate, Cikupa, Tangerang, Banten. During the inspection, authorities identified indications that several Chinese-own...
Read Full Article
The 2026 Tax Outlook
The government has formally enacted the 2026 state budget through Law of the Republic of Indonesia Number 17 of 2025, which was jointly approved by the House of Representatives. Under the 2026 state budget law, total state revenue is set at IDR ...
Read Full ArticleLatest Articles
Please select category
2025 Fiscal Stimulus Package
2025 Fiscal Stimulus Package Just a day after his inauguration on September 9, 2025, the new Minister of Finance was immediately confronted with pressing fiscal challenges, ranging from stagnant economic growth and high unemployment to persisten...
Read Full Article
Welcome Minister of Finance Purbaya Yudhi Sadewa
Welcome Home, Mr. Minister On Monday, September 8, 2025, President Prabowo Subianto swore in four ministers and one deputy minister of the Republic of Indonesia to serve the remainder of the 2025–2029 term. Those appointed were Purbaya Yudhi Sad...
Read Full Article
Breaking Down the Article 21 Withholding Tax Provisions
Breaking Down the Article 21 Withholding Tax Provision In its 2023 Annual Report, the Directorate General of Taxes (DGT) recorded Article 21 income tax revenue of IDR 200.98 trillion, or 99.59% of the target (DGT, 2024). Compared to the sam...
Read Full Article
Payment ID and Its Tax Implications
Payment ID and Its Tax ImplicationsTo mark the 80th anniversary of Indonesia’s Independence Day, Bank Indonesia (BI) had initially planned to launch Payment ID. However, BI later confirmed that the launch would not take place as scheduled. Accor...
Read Full Article
Redefining Independence Through Taxation
Redefining Independence Through Taxation On the eve of Indonesia’s 80th Independence Day, President Prabowo Subianto delivered the Financial Note on the 2026 State Budget before members of the House of Representatives and the People’s Consultati...
Read Full Article
What Is Tax in Indonesia?
What Is Tax in Indonesia?In Indonesia, tax is a mandatory contribution paid by the public to the state, as mandated by law. It serves as a significant source of funding for public services and national development. Tax also acts as a substantial inst...
Read Full Article
Selected Topics: VAT on Coal Transactions
Selected Topics: VAT on Coal Transactions The Director General of Taxes, Bimo Wijayanto, recently stated that the Directorate General of Taxes (DGT) is closely monitoring a sharp rise in tax refund claims from the mining sector in the second qua...
Read Full Article
Unveiling the Taxpayer Charter
Unveiling the Taxpayer Charter On July 22, 2025, the Director General of Taxes officially launched Indonesia’s first-ever Taxpayer Charter. The launch took place at the headquarters of the Directorate General of Taxes (DGT) and was attended by t...
Read Full Article
Article 22 Income Tax Collection on E-Commerce
Article 22 Income Tax Collection on E-Commerce Google, Temasek, and Bain & Company (2025) noted in their E-Conomy SEA 2024 report that Indonesia’s digital economy is one of the largest in Southeast Asia. With a population exceeding 280 milli...
Read Full Article