Tax Clearance in Indonesia

How do local and foreign employees file for tax clearance?

The tax clearance process for local and expatriate employees in Indonesia involves different methods:

• Local employees are subject to regular tax rates based on their taxable income,

• Foreign employees who work less than 183 days or do not intend to work in Indonesia for at least 183 days in a year are subject to a flat tax rate of 20% of their taxable income.