Tax Assesment Letter

Under the self assesment system in Indonesia, every Taxpayer shall be obliged to pay tax payable pursuant to the provisions of the tax laws without waiting for the issuance of notice of tax assessment. Principally, tax is payable when there is a taxable object, but for the purpose of tax administration, the time of tax payable is: 1. at any time, for Income Tax withheld by a third party; 2. at the end of a Taxable Period, for Employment Tax withheld by the employer, or by other party on a business activity, or by a Taxable Person for VAT Purposes on the withholding of Value Added Tax on Goods and Services and Sales Tax on Luxury Goods; 3. at the end of a Taxable Year, for Income Tax. The amount of tax payable, which has been withheld as well as which has to be paid by...

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Taxpayer's Right in Tax Return

Extension of time to file the Annual Tax Return One of taxpayer rights is extension of time to file the annual tax return. This right is suitable for taxpayer who can’t finish the audit process during the first three month of its book year so that it must to file the annual tax return after the due date of tax return. The Director General of Taxation may, at the request of a taxpayer, extend the period for filing an annual tax return for a maximum period of 6 months The request shal be in writing and accompanied by a statement estimating the amount of tax due for 1 (one) tax year and proof of setlement of the tax due. The form which taxpayer should use is 1771 Y or 1770 Y (income tax) and 1721 Y for Article 21 Income Tax. Amendment of a Tax Return A taxpayer may on his own initiative...

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Income Tax Payment For Individual Taxpayer

Based on self assesment system, taxpayer should calculate the tax due in accordance with the tax regulation. The calculation is done by taxpayer in tax form or SPT (Surat Pemberitahuan). The taxpayer has to pay the tax due to the state treasury via Post Ofice and/or a Bank or any other place of payment stipulated by the Minister of Finance. The tax payment should be done by tax slip or SSP (Surat Setoran Pajak). Payment of Article 25 Income Tax For Monthly Article 25 Income Tax Return, the monthly tax instalment payment is due no later then 15 days from the end of the month. If the 15th is a public holiday, Saturday or Sunday, the due date is the folowing day (Article 9-paragraph (1) Law No. 16 Year 2000).The amount of monthly instalment which should be paid by taxpayer shall...

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Income Tax Return For Individual Taxpayer

After registering and obtaining the NPWP, a taxpayer has to file the folowing tax returns: Monthly Article 25 income tax return using tax payment slips (SSP) at the latest 20 days from the end of the month. An individual who is not conducting a business or who is not an independent professional is exempted from filing the monthly returns. Annual individual tax return (Form 1770) at the latest 3 months from the end of a tax year. The form 1770 can be obtained from the tax ofice. (Article 3-paragraph (3) Law No. 16 Year 2000). Before completing the tax return, individual taxpayer should know this matter : Every taxpayer has to complete the tax return in Bahasa Indonesia using Latin Leters, Arabic numerals, and Rupiah curency, then sign and file it at the tax ofice where the taxpayer...

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General Ask Question About Indonesian Tax

What kind of tax does the Director General of Taxes (DGT) administer? DGT administers income tax, Value Added tax, and Land and Building Tax. Who qualifies as a Taxpayers? Taxpayers are individual or corporation who has any tax obligation either income tax or Value Added tax. REGISTRATION How do I get a Taxpayer Identification Number (TIN)? According to the decree of DGT, foreign investment corporation in field of chemical industries, non steel manufacturing industries, and other manufacturing industries that is categorized in the business groups of 35000, and 36000, and 39000 should generally register in KPP PMA Satu. The requirement s of registration are: - Certification from Board of Investment (BKPM) - Notary deed for establishment of the corportion - Power...

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Tax payer Identification Number (NPWP)

The Tax Identification Number (NPWP) is a number issued to taxpayers by the tax ofice to identify taxpayers and to assist them in fulfiling their tax obligations. (Article 1 - paragraph (1) Law No. 16 Year 2000). Taxpayer shal be obligated to register at the tax ofice in the district in which the taxpayer reside (Article 2-paragraph (1) Law No. 16 Year 2000) by submiting the folowing documents: Registration and change of data form Copyy of passport Copy of limited stay permit card (KITAS) Copy of work permit (for taxpayer who is an employee) Copy of tax identification number of the employer (for taxpayer who is an employee) Power of atorney (if his/her registration process is done by another party)Copy of business permit (for taxpayer who is conducting business or an independent professional)...

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Individual Taxpayer.

Indonesia income tax law has two kind of taxpayer : Individual taxpayer and Entity taxpayer. The difference in kind of taxpayer will lead to the diffrence in tax treatment such as tax rate, tax reporting, bookkeeping and so on. Individual taxpayer consits of resident tax payer and non resident taxpayer. Who are resident taxpayer? They are : An individual residing in Indonesia or An individual who is present in Indonesia for more than 183 days in any 12 month period, or An individual who is present in Indonesia in a tax year with an intention to reside in Indonesia. Non-Resident taxpayer are : An individual not residing in Indonesia or who is present in Indonesia for not more than 183 days in any 12 month period.who is conducting a business or carying out activities through...

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Introduction

There have been technological achievements, especialy in the fields of information and transportation, and improvements are continualy developing. Asa result, communication and interaction are made easier, expediting business agreements and decisions. Increased enthusiasm for globalization as wel as escalating interdependence between persons and nations provide a strong basis for growth and development of international transaction involving trade, service and investment.Consequently, each nation and country are susceptible to influencing and being influenced by interaction and communication. From the economic perspective, al forms of protection for the benefit of a country are eliminated until goods, services, and capital flow in and out a country without obstacles (borderless economy).Eficient...

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