Indonesia

On 28 October 2026, the Indonesian Directorate General of Taxes (DGT) published guidance clarifying the party responsible for remitting the 0.5% final income tax (PPh Final) on marketplace transactions. This measure, rooted in Article 4(2) of the Income Tax Law and implemented via Minister of Finance Regulation (PMK), aims to simplify tax collection from the

As of 28 October 2026, the Indonesian Tax Authority released an analytical article examining the implications of the Global Minimum Tax (GMT) under the OECD/G20 Inclusive Framework on BEPS Pillar Two. Indonesia, as a signatory, is progressing toward domestic legislation to enforce a 15% effective minimum tax on multinational enterprises (MNEs) with consolidated revenues exceeding

On 26 October 2026, the Regional Office of the Directorate General of Taxes (DJP) for South Sulawesi and West Sulawesi (Sulselbartra) hosted a tax dialogue with the Indonesian Tax Consultants Association (PSMTI) to dissect the newly issued PMK 71/2026 and KEP-239/2026. These regulations address administrative penalty reductions and procedural guidelines for tax dispute resolution, forming

On 26 October 2026, the Jakarta East Regional Tax Office, in collaboration with the local Tax Center, conducted a technical workshop on the revised Kuasa Wajib Pajak (Tax Proxy) regulations. The new rules, issued under the latest Minister of Finance Regulation, redefine the authorization framework for tax consultants and legal representatives acting on behalf of

On 23 October 2026, the Jakarta West Regional Tax Office launched an intensive outreach campaign encouraging taxpayers to leverage the Pengurangan Sanksi Administratif (PSA) facility, which offers administrative penalty reductions of up to 100% for qualifying tax obligations. This initiative aligns with the government’s broader strategy to improve voluntary compliance and resolve legacy tax disputes.

Published 23 October 2026, this DGT article addresses a critical operational question arising from the new marketplace withholding regime: whether individual merchants must obtain a Surat Keterangan Bebas (SKB) or Tax Exemption Certificate to avoid the 0.5% final income tax withholding. The guidance confirms that the 0.5% withholding under Article 4(2) is final in nature,

On 21 October 2026, the North Jakarta Regional Tax Office organized a Focus Group Discussion (FGD) with tax associations and practitioners to socialize the implementation of PMK-71/2026 concerning the reduction of administrative sanctions. The forum addressed practical challenges in applying the penalty relief provisions, including the calculation of reduction percentages, the treatment of installment payments,

On 20 October 2026, the Indonesian Directorate General of Taxes (DGT) published an explanatory article detailing the implementation of PMK-44/2026 regarding the calculation of family degrees (derajat keluarga) for personal income tax purposes. This regulation, issued by the Minister of Finance, expands the definition of family relationships beyond strict bloodlines to include adoptive and step-relationships,

On 20 October 2026, the Jakarta East Tax Office held a socialization event detailing the new correction mechanisms for VAT (PPN) and Annual Income Tax (PPh Tahunan) returns within the Coretax digital platform. The updated procedures, mandated by the latest DJP regulation, introduce a streamlined, fully electronic correction workflow replacing the previous paper-based amendment process.

On 20 October 2026, the Jakarta East Regional Tax Office (DJP Jaktim) conducted a detailed briefing on the revised Tax Proxy (Kuasa Wajib Pajak) regulation, which introduces significant changes to the authorization, oversight, and liability framework for tax professionals representing clients before the tax authority. The new regulation, issued as a Minister of Finance Regulation