Ensure seamless tax and accounting management with our professional services. At Easy Visa Indonesia, we provide reliable Tax & Accountancy Services tailored to meet the needs of businesses and individuals. Our expert team specializes in tax calculation, financial reporting, bookkeeping, and regulatory compliance, ensuring that you stay on top of your financial obligations without hassle. We help you navigate Indonesia’s complex tax system, minimize risks, and optimize financial efficiency. Whether you need assistance with corporate taxation, personal income tax, or financial statements, we are committed to delivering accurate and efficient solutions that keep your business running smoothly and in full compliance with the latest regulations
Our Tax & Accountancy Services provide expert support for bookkeeping, tax filing, and financial reporting in Indonesia
Tax matters in Indonesia can be quite complicated, time consuming and frustrating due to the vast amount of laws, regulations and grey areas that govern it. However, if you are a long term resident, a business owner or working within Indonesia, you will need to understand your tax obligations.
One surprising factor new business owners encounter when they open a business in Indonesia is that, not only do they need to do annual tax reporting, but also monthly reporting. . This can be extremely costly and should be a consideration for all new business owners when you register your business.
Once you have established a business in Indonesia you have to register as a taxpayer. You will get a tax ID number / tax registration number (NPWP), tax relief certificate (SKT), and taxable VAT entity confirmation number (SPPKP) – which is additional, if your business has a gross revenue more than 4.8 billion IDR in a year.
Once you have a NPWP and SKT, you are obliged to calculate, pay, and file the report to the Indonesia Tax Authority.
Many new businesses believe that because they are not earning any money or earning a profit, that they are exempt from tax reporting; however, you are still obliged to file a report with zero tax.
Please note that if you do not keep on top of your taxes, you could well be at risk or financial penalties, surcharges as well as (in extreme cases) imprisonment.
Corporate Tax reporting should be filed by the 20 of the following month and tax payments should be made the 15th of the following month.
Annual Tax, specifically in Indonesia, is tax that needs to be paid every year to the tax authority in Indonesia, which is the Directorate General of Tax.
The subjects that are inclined to file the tax report to the tax authority in Indonesia are both individuals as well as corporates that must acquire Tax ID (NPWP) or receive income through profits such as wages, dividends, revenues, and other source of income.
In order to process the Annual Tax Report to the tax authority in Indonesia, first you need to register yourself as an individual, or the company that is subjected to comply with the Annual Tax to the Directorate General of Tax.
The registration will require a series of documents to be submitted, bearing in mind the frequent and sudden changes to tax regulations in Indonesia.
The deadline for the Individual Annual Tax would be on the 31st March every year. For the Corporate Annual Tax, it will be on 30 April every year.
If you’re only leaving Indonesia temporarily, you are still obligated to file the Annual Tax Report. However, if you’re leaving Indonesia permanently, you need to notify the Indonesian Tax Authority regarding your departure and your cancellation of your Tax ID (NPWP).
Individual Tax Report is for employees who work in the private sector or state-owned companies, as well as employees working for the government.
The individual subjected to pay the Individual Tax must first register to the Directorate General of Tax in order to acquire the Tax ID (NPWP).
The registration will require series of documents to be submitted bearing in mind that you will need to be wary of the frequent changes of the tax regulations in Indonesia.
It is compulsory for the individuals to file the tax report to the Indonesian Tax Authority, which is required by the applicable Indonesian Law.
The rate would be as follows:
Taxable Income Tax Rate
The deadline for it to be processed would be on the 31st March of every year.
You are inclined to be charged with an extra 20% of your tax report. You could also deal with the enforcement authority which could subject to sentences according to the applicable law.
One of the business owner’s biggest concerns when they set up a company in Indonesia is ensuring they adhere to the correct working practices and that means paying the correct taxes and VAT.
Many new business owners ask whether they need to register for VAT and this depends on a few different factors; but before we get there, let’s clarify what it is and who it is relevant to.
Value Added Tax (VAT) is a tax imposed on most goods and services within Indonesia. The standard taxable rate is 11%; however, some goods or services are charged at different rates ranging from 5 – 15% in accordance with Indonesian Regulations.
It should be noted that Indonesia levies a separate GST on the sale of luxury items, which ranges between 10% and 50%.
In general, your business is required a VAT registration number when it reaches an annual revenue of 4.8 billion IDR (Approx. 360,000 USD).
As well as different VAT identification number rates, some business services issue are subject to 0% VAT, which as of 1st April 2019 includes:
Services connected to movable goods, utilised outside of the Customs Area that comprise:
Services connected to return immovable goods located outside of the Customs Area in the form of consultation services for construction.
Other services where the output is utilised outside of the Customs Area and utilisation are based on a request from an overseas business recipient. These services comprise:
If your company is considered as Pengusaha Kena Pajak (PKP) you must report your VAT invoice related to taxable turnover business activity monthly.
Companies with several branches must threshold register each branch with the Kantor Pelayan Pajal (KPP).
To register for VAT, businesses must submit several documents, including:
Monthly VAT Reporting is mandatory for all businesses that are VAT Registered in Indonesia and VAT is imposed on goods and services transactions carried out by entities or individuals.
Our experienced team will calculate your VAT obligation and report it to the tax office on your behalf.
Value Added Tax (VAT) is a purchasing tax imposed on the value added at each stage of the production and distribution process. In Indonesia, the standard VAT rate is 11%.
Value Added Tax (VAT) registration is a crucial step for businesses exceeding an annual revenue threshold of IDR 4.8 billion. This process ensures compliance with tax regulations and allows businesses to participate in the VAT system, collecting and remitting VAT on their taxable goods and services.
While the corporate VAT registration process can seem intricate, Lets Move Indonesia is here to simplify it for you. Our team of experts can guide you through the necessary steps, ensuring a smooth and efficient registration experience, allowing you to focus on your core business activities.
From gathering the required documents to submitting your application and obtaining your VAT certificate, we will be with you every step of the way. We’ll also assist in setting up your VAT account, enabling you to manage your VAT obligations effectively. With Lets Move Indonesia’s support, you can confidently navigate the VAT registration process and ensure your business remains compliant with Indonesian tax laws.
EFIN (Electronic Filing Identification Number) is an identity number issued by the Directorate General of Taxes to taxpayers to conduct electronic transactions including tax e-Filing. EFIN is useful as an authentication tool so that every tax return (SPT) that you send, can be encrypted ensuring confidentiality.
Payroll processing is one of the most challenging parts of running a business and is extremely time consuming for business owners. At Easy Visa Indonesia, we specialize in ensuring your company operates smoothly and stress free, allowing you to focus on making your business grow.
Payroll is processed in a series of steps to ensure that employees are paid accurately and on time, while also complying with the country’s complex tax and social security regulations.
Our payroll services focus on helping you calculate gross wages, subtract all pertinent withholdings and deductions, print pay slips and prepare all employment tax filings.
BPJS and its relevance for expatriates, has been a hotly debated topic over the years, particularly as most expatriates fail to see the personal benefit of the scheme. However, it is now a mandatory requirement for all Indonesian residents who have been living in the country for 6 months or more. Ultimately, if you are the holder or a KITAS, you will no longer be able to extend it, unless you have been keeping on top of your BPJS payments and we are here to help you with your BPJS Registration
BPJS is a government initiative, imposed on all citizens of Indonesia to provide universal social security and consists of healthcare, pension schemes, work placed injury recompense, as well as death benefits. This whole worker social security package aims to maintain decent basic living standards when participants encounter income loss or decrease resulting from workplace injuries, old age, retirement or death.
There are 2 types of BPJS, BPJS Kesehatan (Health Security) as well as BPJS Ketenagakerjaan (Social Security). If you are an individual, you must register for the healthcare scheme, however, if you are a company you will need to register for social security scheme for employees.
This is mandatory for individuals living in Indonesia and it gives the holder healthcare protection. You can determine which type of protection you would prefer and they offer 3 different classes of service, each coming at a slightly higher cost point, but with increased benefits to the users
If you are a business owner you must register all staff. If you are employed by a company they will register you and provide you with a Social Security Card. If you are working as a freelancer and would like to arrange cover, you can register for an Independent Social Security BPJS member.
Basic protection includes:
Old Age Protection, Working Accident Protection, Death Payment as well as Pension Protection.
The monthly payments for the Social Security Program should be paid by both the employer and the employee. Amount paid is in relation to what type of protection you prefer as well as the salary itself. If you an independent member, you must pay the monthly fee by yourself.
Please note that this is not a complete insurance product, so if you require specific healthcare insurances, we would advise using an independent company.
Investment Activity Report (LKPM) is an obligation for every business actor as stipulated in Article 15 letter (c) of Law No. 25 of 2007 concerning Capital Investment Article 5 letter (c) and BKPM Regulation No. 5 of 2021 concerning Guidelines and Procedures for Risk-Based Business Licensing Supervision.
LKPM is a report on the progress of Investment realization and problems faced by Business Actors that must be made and submitted periodically (Article 1 point (20) of BKPM Regulation No. 5 of 2021) which are required to submit LKPM online are all Business Actors, except Micro Business Actors, Companies in the upstream oil and gas business sector, banking, non-bank financial institutions and insurance.
Submission of the Investment Activity Report (LKPM) is a requirement for companies investing more than IDR 500,000,000 (approx. USD 33,900). This includes all companies with foreign shareholders as the minimum capital requirement for such is IDR 2,500,000,000. The company must also have an Identification Number to Operate or Nomor Induk Berusaha (NIB).
However, this does not apply to the following:
New companies also have to submit an investment activity report. Once the Online Single Submission (OSS) System issues the NIB to your company, you will have to start submitting the LKPM.
The Personal NPWP Card is as essential as the Identity Card (KTP). NPWP must be owned by people who have fulfilled certain requirements.
Taxpayer Identification Number or NPWP is a number given to taxpayers that will be used as a personal identification or identity of taxpayers in carrying out their rights and obligations in tax affairs. NPWP must be owned by Indonesian citizens, both individuals and business entities.
The Personal NPWP Card can be said to be as important as the Identity Card (KTP). NPWP must be owned by people who have fulfilled certain requirements, including expatriates who live in Indonesia.
If you are an expat and planning to live or work in Indonesia, it is mandatory for you to register for an NPWP. Registering your NPWP through LetsMoveIndonesia will save you time and hassle. We will help provide guidance through the document preparation and submitting your them so you would not have to go the extra mile to make sure the process runs smoothly.
The Tax Identification Number (NPWP) is a set of numbers given to taxpayers (both individual and business entity) for personal identification in carrying out their taxation rights and obligations. NPWP is given to eligible taxpayers who fulfil the subjective and objective requirements, as stipulated in taxation laws and regulations.
In order to carry out all taxation activities, a business must first have an NPWP. The business NPWP is different from the NPWP you have for your personal needs.
If you want to run a business in Indonesia, you must first obtain a company NPWP to make sure you are following the right tax requirements. Easy Visa Indonesia assists and makes sure your company is registered and eligible to conduct all tax matters for your business.
The ever-changing laws and regulations in Indonesia makes it hard to stay compliant with the newest policies, especially when speaking about tax reporting, which most of the times leads tax subjects to a failure in understanding the correct tax return requirements. Having an assistance of a reliable tax consultant will massively help cutting off the confusion and providing comprehensive steps to help reporting your tax return, while giving you advises regarding tax matters. A professional tax consultant will make sure your tax and accounting process runs smoothly while staying on top of Indonesia’s Tax regulations.
Check the brief background of a tax consultant before deciding to work together. Make sure your chosen consultant agrees to communicate in person before charging you with any finance. At Easy Visa Indonesia, we provide FREE consultations with our consultants to ensure you obtain the best services that fit your needs.
Of course. Our tax consultants handle hundreds of corporate accounts every year. We have the best resources to help with your Tax and Accounting matters.
Our Tax, Visa and Legal consultants help eliminating thousands of worries in Visa applications, Business registrations and Tax reporting process. We are proud to be the market-leading agency in providing Visa and Market Entry services for both national and international clients. Due to our ethics in performances and price settings, more and more people turn to Easy Visa Indonesia every year to help with their tax and accounting needs.