We will regularly publish the Transfer Pricing Guide to provide brief explanation on the transfer pricing rules in Indonesia. In this publication, the Transfer Pricing Guide consist of: Transfer Pricing Definition Arm’s Length Definition Transfer Pricing Methods
The Tax Update April 2018 covers several new tax regulations as follows: Corporate Income Tax reduction facility (tax holiday) Announcement of list of countries having Quality Competent Authority Agreement (QCAA) for the purpose of Country by Country Reports (CbCR) with Indonesia The accelerated restitution for taxpayer who meets specific criteria
On 23 January 2018, the Directorate General of Tax has issued PMK-9 regarding the requirement of e-filling tax returns and the exemption for reporting the NIL tax return.
On 29 December 2017, the Directorate General of Tax (“DGT”) has issued PER-29 regarding the procedures for managing Country by Country Report (“CbCR”). PER-29 is issued as the implementing regulation for Ministry of Finance Regulation No. 213/PMK.03/2016 (“PMK-213”) which requires the taxpayer who has related party transactions to maintain 3 (three) tiered Transfer Pricing Documentation, […]
In 2015, Ministry of Finance has issued a regulation No. PMK-169/PMK.010/2015 (“PMK-169”) to regulate the debt to equity ratio of 4:1 for the calculation of Income Tax. If the debt to equity ratio exceeds the ratio of 4:1, the interest expense can be deductible limited to the maximum ratio of 4:1. Recently, the Directorate General […]