METALAW – Indonesia Legal Consultant Contributes To The Legal 500 Tax – Indonesia Chapter.
On October 2025, the Tax practice team of METALAW have contributed to the 10th Edition of The Legal 500 Tax Comparative Guide specifically in the Indonesia Chapter, published by The Legal 500 which has been analysing law firms across the world.
Under this publication, METALAW provides an overview of Tax laws and regulations in Indonesia, which was covered through 26 questions in a Q&A format provided by Graham Samuel-Gibbon of Taylor Wessing.
This publication answers 26 topics describing the current condition of Tax laws and regulations in Indonesia, which includes questions regarding specific Tax problems, compliances, and trends. The issues discussed in this publication mainly focuses on:
- Formation and amendment of tax laws and regulations, among others, its frequency of amendment, various reasonings to change, and procedure of issuance;
- General matters regarding administrative obligations of taxpayers, tax authorities, and dispute resolution, among others, the procedures for resolving tax disputes (including the role of Directorate General of Taxation as the main authority, and objections to the Tax Court’s and Supreme Court’s decision), the obligation to save documents that are used to prepare taxpayer’s bookkeeping, the obligation to file tax returns, and tests to business taxation for tax residents;
- Provisions on confidentiality, beneficial ownership, and tax residency, which covers the confidentiality obligation for tax officials, reporting obligations over beneficial ownership to the Ministry of Law, and residency tests for individual and corporation taxpayers;
- Regulations related to international taxation and anti-tax avoidance, such as transfer pricing, affiliated transactions, Controlled Foreign Corporation (CFC), digital services tax, General Anti-Avoidance Rule (GAAR), and Indonesia’s alignment with OECD’s Base Erosion and Profit Shifting (BEPS), and other various provisions;
- Overview of tax structure and rates, including corporate and individual income tax, VAT and sales tax over luxury goods, royalties, capital gains, stamp duties, withholding tax, and the adoption of effective tax rates;
- Various tax incentives and special fiscal policies, including incentives for Micro, Small, and Medium Enterprises, Ibu Kota Nusantara (IKN), strategic industries, and the introduction of carbon tax;
- Various queries on tax treatments, among others, on whether there is any special tax regimes for intellectual properties, whether fiscal consolidation is permitted; and
- Rules on dividend taxation and investment climate, which covers tax exemptions for reinvested dividends, treatment of offshore dividends, and Indonesia’s investment advantages and challenges.
The publication of this Comparative Guide of The Legal 500 by METALAW Tax Practice Team provides answers to the current frequently asked questions in relation to the Tax in Indonesia. METALAW has also contributed to several other articles which discussed Indonesia’s current trend and development of law in Conventus Law.
For further information, please contact:
MetaLAW, Legal & Tax Consultant, Jakarta, Indonesia
general@metalaw.id
