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INDONESIA: 0.5% Corporate Income Tax Levy Mooted for E-Commerce Operators

All e-commerce businesses operating in the country are to be obliged to obtain a tax identification number (NPWP) and file self-assessed income tax returns. It is anticipated that businesses operating in the sector will subsequently be expected to pay corporate income tax at a rate of 0.5%, the same tariff that applies to the country’s micro, small and medium-sized enterprises (MSMEs). Although formally endorsed by the Finance Ministry, the implementation date has yet to be announced.

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