Indonesia imposes withholding tax on services rendered by residents and non-residents to ensure tax compliance and generate revenue. This tax is deducted at the source, meaning the payer withholds and remits a percentage of the payment to the tax authorities on behalf of the service provider. Understanding the rules and rates
of Indonesian withholding tax on services is essential to ensure accurate compliance and avoid any potential penalties.
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As one of the fastest emerging economies in the world, Indonesia was ranked 9th in the list of top prospective host countries for Foreign Direct Investment (FDI) in 2016-2018 according to the UN Conference on Trade and Development (UNCTAD). Setting up a new office in a foreign country can be costly and complicated, especially for new investors who are just st
As one of the fastest emerging economies in the world, Indonesia was ranked 9th in the list of top prospective host countries for Foreign Direct Investment (FDI) in 2016-2018 according to the UN Conference on Trade and Development (UNCTAD). Setting up a new office in a foreign country can be costly and complicated, especially for new investors who are just st
Indonesia is one of the most attractive emerging markets in South-East Asia for foreign businesses looking to expand their businesses. Any foreigner who wants to legally run a business in Indonesia must incorporate a PT PMA Indonesia. This entity allows foreigners to generate revenue streams and profit from business conducted within the Indonesian territory.Any company in Indonesia that has one or more foreign shareholder is a PT PMA (Perseroan Terbatas Penanaman Modal Asing) which means a “limited liability company with foreign direct investment. The company will still be a PT PMA even if t