Indonesia

Indonesia: West Java Tax Court Upholds Corporate Tax Evasion Conviction in SBAT Case

On 11 August 2026, the Kanwil DJP West Java I announced that tax enforcement proceedings against corporate taxpayer SBAT culminated in a court conviction for tax evasion (kecurangan pajak). The case, adjudicated under Article 39 of Law No. 28 of 2007 on General Provisions and Tax Procedures (KUP Law) as amended by Law No. 7 […]

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Indonesia: KPP Pratama Sampit Strengthens Tax Collaboration with Regency Head

August 2026 saw the KPP Pratama Sampit hosting an audience with the Regency Head of Seruyan to discuss enhanced tax collaboration. The engagement follows Ministerial Regulation No. 7/2024 on Inter-Agency Coordination in Tax Collection, which encourages local tax offices to partner with local government leaders to improve compliance and revenue mobilization. Key Takeaways Joint initiatives

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Indonesia: Indonesia Tax Fairness: DGT Addresses ‘Why Tax After Success?’ Narrative Among Entrepreneurs

On 11 August 2026, the DGT responded to a common sentiment among entrepreneurs: “Why tax after I struggled alone and succeeded?” The article explains the progressive tax philosophy underpinning Indonesia’s system: those with higher ability to pay contribute more to fund public infrastructure, education, and healthcare that enable business environments. It cites the constitutional mandate

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Indonesia: South Sulawesi Tax Body Holds Public Forum on Final PPh for UMKM

In August 2026, the South Sulawesi Tax Directorate organized a public forum on the final withholding tax (PPh) for micro, small and medium enterprises (UMKM). The forum addresses the implementation of PMK No. 13/2025 on Final Withholding Tax for UMKM, which takes effect in 2026 and introduces simplified reporting thresholds. Key Takeaways Streamlined filing requirements

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Indonesia: Jakarta South Tax Directorate Hosts BDS 2026 National Food Bazaar

August 2026, the Jakarta South Tax Directorate, together with KPP Pratama Jakarta, organized the BDS 2026 National Food Bazaar as part of an economic empowerment program. The event aligns with Law No. 6/2023 on Tax Incentives for Economic Zones, which provides fiscal incentives for activities that stimulate regional development and entrepreneurship. Key Takeaways The bazaar

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Indonesia: Indonesia Delays Marketplace Article 22 Income Tax Collection

On 5 August 2026, the Directorate General of Taxes announced the postponement of the implementation of Article 22 income tax (PPh Pasal 22) collection obligations for electronic marketplace operators, originally mandated under PMK-59/2022 and scheduled for enforcement from July 2026. The deferral responds to industry feedback regarding system readiness, compliance complexity for millions of micro,

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Indonesia: Advance Tax Deposit Not Yet Full Tax Payment; Further Measures Needed

As of 04/08/2026, the Directorate General of Taxes clarified that advance tax deposits submitted by taxpayers are not automatically regarded as final tax payments. The agency emphasized that after the deposit, taxpayers must still undertake additional compliance steps, such as filing periodic returns and settling any remaining liabilities. This guidance aims to prevent misinterpretation of

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Indonesia: Dirjen Pajak Issues PER-8/PJ/2024 Regulation on Tax Payment Refund

The regulation PER-8/PJ/2024 issued by the Director General of Taxes revises tax payment, refund, and overpayment procedures within the Coretax digital administration system. Effective from 28 July 2026, the amendment mandates electronic proof submission for all tax payments, requiring taxpayers to generate certified digital receipts through the official portal. It also establishes a standardized process

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Indonesia: Finance Ministry Issues Customs and VAT Exchange Rate Until 4 Aug 2026

The Ministry of Finance regulation MK/EF.2/2026 determines the reference exchange rates that will be used to calculate customs duties, value‑added tax (PPN), and other tax assessments for the period from 22 July 2026 through 28 July 2026. The decree publishes the official rates for major foreign currencies—including the US Dollar, Euro, Japanese Yen, and Chinese

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Indonesia: Understanding SP2DK, the “Love Letter” from the Tax Authority

Published on 23/07/2026, this article explains SP2DK (Surat Perintah Pajak Keluarga), commonly referred to as the “Love Letter” issued by DJP to taxpayers with outstanding liabilities. The piece details the legal basis, the procedural steps for responding, and the potential consequences of ignoring the notice. It also outlines recent procedural reforms that aim to provide

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