What taxes are involved?

  • InCorp Editorial Team
  • 17 June 2025
  • 1 minutes reading time

For employment, the company is subject to:

  • Employee income tax article 21
  • VAT on both the service invoice and the salary invoice
  • 2% recovery tax on salary invoice

Verified by

Dessy Amelia

Senior Tax Manager at InCorp Indonesia

Dessy has over eight years of experience in tax services, leading InCorp Indonesia's tax team in compliance and strategic solutions. She holds a bachelor's degree in Fiscal (Tax) Administration from... Read more

Get in touch with us.

Lead Form

What you’ll get

A prompt response to your inquiry

Knowledge for doing business from local experts

Ongoing support for your business

Disclaimer

The information is provided by PT. Cekindo Business International (“InCorp Indonesia/ we”) for general purpose only and we make no representations or warranties of any kind. We do not act as an authorized government or non-government provider for official documents and services, which is issued by the Government of the Republic of Indonesia or its appointed officials. We do not promote any official government document or services of the Government of the Republic of Indonesia, including but not limited to, business identifiers, health and welfare assistance programs and benefits, unclaimed tax rebate, electronic travel visa and authorization, passports in this website.