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Retained

  • Statutory Tax Rate 22
  • Surtax Based on Taxable Income 0
  • Surtax Based on Statutory Tax 0
  • Surtax Deductible from Taxable Income 0
  • Statutory Tax Deductable 0
  • Effective Tax Rate 22

Statutory Tax Rate

Resident companies are subject to tax at a flat rate of 22%.

Mining companies under a contract of work or oil and gas companies under a production sharing contract are subject to the tax rate stipulated in the relevant contract which is generally higher than the standard corporate tax rate and may range from 30% to 45%.

Listed companies are eligible for a corporate tax rate discount provided they float at least 40% of their capital and meet other specified conditions. The discount amounts to 3 percentage points, translating into an effective corporate tax rate of 19% (for 2020 and following tax years).

Small companies with annual turnover below IDR 50 billion (approximately USD 5000) are also eligible for a corporate tax rate discount translating into an effective tax rate of 11%. Micro-businesses with turnover below IDR 4.8 billion are subject to tax at the rate of 0.5% on turnover.