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Zantara AI
AI Tax Advisor
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Zantara AI
AI Tax Advisor
Bali Zero handles visas, company setup, tax and property compliance in Indonesia. Ask us directly on WhatsApp.
Chat with Bali Zero on WhatsAppRunning a PT PMA (Penanaman Modal Asing / Foreign Investment Company) in Indonesia means operating under one of the most detailed tax compliance frameworks in Southeast Asia. The Direktorat Jenderal Pajak (DJP) expects timely filing and payment across multiple tax types, each with its own deadlines, forms, and systems.
Non-compliance is not just about fines. Repeated violations trigger tax audits, which can uncover assessments going back 5 years. For PT PMA companies, clean tax compliance is also critical for KITAS renewals, RPTKA approvals, and maintaining your investment license with BKPM.
This checklist covers every obligation your company faces, mapped to exact calendar deadlines.
Every month, a PT PMA company must handle up to 8 separate tax obligations across payment and reporting. Here is the complete monthly calendar.
| Day of Month | Obligation | Payment/Filing | System |
|---|---|---|---|
| 10th | PPh 21 payment | Pay employee withholding tax | e-Billing / Coretax |
| 10th | PPh 23 payment | Pay service withholding tax | e-Billing / Coretax |
| 10th | PPh 26 payment | Pay foreign withholding tax | e-Billing / Coretax |
| 10th | PPh 4(2) payment | Pay final tax (rent, construction) | e-Billing / Coretax |
| 15th | PPh 25 payment | Pay corporate installment tax | e-Billing / Coretax |
| 20th | SPT Masa PPh 21 | File employee tax return | e-Bupot / Coretax |
| 20th | SPT Masa PPh 23/26 | File withholding tax return | e-Bupot / Coretax |
| End of month | PPN payment | Pay VAT payable | e-Billing / Coretax |
| End of following month | SPT Masa PPN | File VAT return | e-Faktur / Coretax |
Important: If any deadline falls on a weekend or national holiday, the deadline moves to the next working day. However, it is strongly recommended to file 2-3 days before the deadline to account for system congestion and processing delays.
PPh 21 is the income tax withheld from employee salaries, bonuses, and other employment income. As the employer, your PT PMA is responsible for calculating, withholding, remitting, and reporting this tax.
Who is covered: All employees (Indonesian and foreign), including:
Tax rates (2026):
| Annual Taxable Income | Rate |
|---|---|
| Up to IDR 60,000,000 | 5% |
| IDR 60M - 250M | 15% |
| IDR 250M - 500M | 25% |
| IDR 500M - 5B | 30% |
| Above IDR 5B | 35% |
Monthly workflow:
Penalty for late payment: 2% per month interest on unpaid amount Penalty for late filing: IDR 100,000 per SPT Masa
PPh 23 applies when your company makes payments to Indonesian entities or individuals for services, interest, dividends, and royalties.
When to withhold:
| Payment Type | Rate | Example |
|---|---|---|
| Technical services | 2% of gross | IT consulting, engineering |
| Management services | 2% of gross | Management consulting |
| Consulting services | 2% of gross | Legal, tax, business advisory |
| Accounting services | 2% of gross | Audit, bookkeeping |
| Construction services | 2% of gross | Building, renovation |
| Cleaning/catering services | 2% of gross | Office cleaning, event catering |
| Dividends | 15% of gross | Dividend payments to individuals |
| Interest | 15% of gross | Loan interest to individuals |
| Royalties | 15% of gross | Intellectual property licensing |
Monthly workflow:
PPh 25 is your company's monthly installment payment toward the annual corporate income tax liability. The amount is calculated based on last year's annual tax return.
Calculation formula: PPh 25 monthly = (Last year's Corporate PPh - Tax credits) / 12
Example: If your 2025 annual corporate tax was IDR 240,000,000 and tax credits (PPh 22, 23, 24) totaled IDR 60,000,000, your monthly PPh 25 for 2026 would be: (IDR 240,000,000 - IDR 60,000,000) / 12 = IDR 15,000,000/month
Payment deadline: 15th of the following month Filing: PPh 25 does not require a separate SPT Masa filing. Payment itself serves as the filing.
Special cases:
PPN applies if your company is registered as PKP (Pengusaha Kena Pajak). All companies with annual revenue exceeding IDR 4,800,000,000 must register. Companies below the threshold can register voluntarily.
Current PPN rate: 12% (effective January 2025 for luxury goods; 11% standard rate for most goods/services with effectively 12% applied through calculation adjustments)
Monthly workflow:
Example PPN calculation:
| Item | Amount |
|---|---|
| Sales revenue (taxable) | IDR 500,000,000 |
| Output PPN (11%) | IDR 55,000,000 |
| Purchases (taxable) | IDR 300,000,000 |
| Input PPN (11%) | IDR 33,000,000 |
| PPN payable | IDR 22,000,000 |
While PPh 25 is paid monthly, a quarterly review is recommended to ensure your installments are aligned with actual revenue. If your company's revenue is significantly higher or lower than last year, you can apply to your tax office (KPP) for a PPh 25 adjustment to avoid underpayment penalties or overpayment cash flow issues.
PT PMA companies registered with BKPM must file quarterly LKPM (Laporan Kegiatan Penanaman Modal) reports. While this is technically an investment report rather than a tax filing, failure to file can affect your company's good standing and trigger scrutiny from both BKPM and DJP.
| Quarter | Period | Deadline |
|---|---|---|
| Q1 | January - March | April 10 |
| Q2 | April - June | July 10 |
| Q3 | July - September | October 10 |
| Q4 | October - December | January 10 |
The annual corporate tax return is the most significant filing obligation. It consolidates all monthly activities into a comprehensive return that determines your final corporate tax liability.
Deadline: April 30 of the following year (for calendar-year taxpayers)
What it includes:
Corporate income tax rate: 22% on taxable income
Special rate for small businesses: PT PMA companies with gross revenue up to IDR 50,000,000,000 receive a 50% discount on the 22% rate for the portion of taxable income up to IDR 4,800,000,000.
Late filing penalty: IDR 1,000,000
At year-end, you must reconcile the monthly PPh 21 calculations against each employee's actual annual income. This reconciliation (often called the PPh 21 equalization) may result in additional tax payable or overpayment.
Deadline: January SPT Masa PPh 21 filing (due February 20)
Process:
While individual employees file their own SPT Tahunan (Form 1770/1770S/1770SS), the company must provide each employee with a Form 1721-A1 (bukti potong annual) summarizing their annual income and tax withheld. This must be issued by January 31 of the following year.
| Tax Type | Interest Rate | Calculation Basis |
|---|---|---|
| PPh 21 | 2% per month | On unpaid amount, max 24 months |
| PPh 23/26 | 2% per month | On unpaid amount, max 24 months |
| PPh 25 | 2% per month | On unpaid amount, max 24 months |
| PPN | 2% per month | On unpaid amount, max 24 months |
| Annual Corporate PPh | 2% per month | On underpayment, max 24 months |
| SPT Type | Penalty Amount |
|---|---|
| SPT Masa PPh (21, 23, 25, 26) | IDR 100,000 per late SPT |
| SPT Masa PPN | IDR 500,000 per late SPT |
| SPT Tahunan Badan (Annual Corporate) | IDR 1,000,000 |
| SPT Tahunan PPh Orang Pribadi (Individual) | IDR 100,000 |
| Scenario | Penalty |
|---|---|
| Voluntary correction before audit | 2% per month interest on underpayment |
| Underpayment found during audit | 50% of underpaid amount + interest |
| Intentional underreporting | 100-200% of underpaid amount + criminal prosecution |
| Failure to withhold (PPh 21/23) | Company liable for the full tax amount + 100% penalty |
As of 2026, DJP is progressively migrating all tax administration to the Coretax system, replacing DJP Online, e-Filing, e-Bupot, and e-Billing with a single integrated platform. During the transition:
Recommendation: Maintain access to both DJP Online and Coretax. If one system is down near a deadline, try the other. Document any system errors with screenshots as evidence for potential penalty appeals.
| Company Size | Recommended Tax Staff |
|---|---|
| 1-5 employees | Outsourced to tax consultant |
| 6-20 employees | 1 in-house accountant + tax consultant review |
| 21-50 employees | Dedicated in-house tax staff + annual tax consultant audit |
| 50+ employees | Tax department + Big 4 or reputable firm for compliance review |
Need help setting up PT PMA tax compliance? Bali Zero connects you with licensed tax consultants who specialize in foreign-owned companies. From monthly filing to annual SPT Badan, we ensure your company stays compliant.