FINANCE

INDONESIA TAX SYSTEM

CORPORATE TAXES– This are taxes charge on profit of companies. The rate is specified by law

-PERSONAL INCOME TAXES-Taxes charged on income of individual.

CAPITAL GAIN TAXES– taxes on gain of fixed asset disposed

CUSTOM AND EXCISE TAX

VAT

WHT -RESIDENT AND NON RESIDENT

PERSONAL INCOME TAX RATE– Personal income tax is progressive in nature

UPTO IDR 50 MILLION 5PERCENT

OVER IDR 50M TO IDR 250M -15PERCENT

OVER IDR 250M TO 500M-25PERCENT

OVER IDR 500M -30PERCENT

ALLOWABLE EXPENSES FOR INCOME TAX PURPOSE

This is specified by the law. The most common criteria is that the expenses must be incurred for business purpose and must be reasonable.

Disclaimer; we made effort to present tax information; however we disclaim all liability as a result of reliance on this article. Consult your professional