Free Guides

In this edition of EKONID’s Newsletter Law and Taxes, cooperation partners share their expertise on recent Indonesian legal and tax developments including, but not limited to, the update on the ever-interesting topic of the Omnibus Law, the territorial based taxation for expatriates, amendment of tax treaty between Indonesia and Singapore, as well as Income Tax Facilities in Special Economic Zones and DGT Form for Non-Indonesian Tax Payers.

The Indonesian Government introduced its “Industry 4.0” initiative which seeks to accelerate the use of advanced technologies to broaden and grow Indonesia’s manufacturing capabilities and output. Another area of focus for the Government is continuing the development of dedicated industrial estates, or Special Economic Zones (SEZs), as part of its efforts to attract foreign companies to relocate their operations to Indonesia. In this detailed report Deloitte provide broad and impactful insights to all prospective investors.

This quick reference guide by Lexology presents a side-by-side comparison of local insights, including into law, policy and relevant authorities; procedure, including thresholds and timelines; substantive assessment, including interagency and international consultation, remedies and rights of challenge and appeal; relevant recent case law; and other recent trends.

This policy brief by Krisna Gupta, is written as a follow-up to The Centre of Indonesian Policy Studies’ (CIPS) policy paper “The Advent of a New Trade Governance After the Omnibus Law Neraca Komoditas” that was published before the issuance of Presidential Regulation No. 32/2022. Legalized on February 21st 2022, Presidential Regulation No. 32/2022 on Neraca Komoditas is the implementing regulation of the Job Creation Law on trade. It regulates the use of and the procedure to enact Neraca Komoditas, which is a centralised integrated database of supply and demand for traded goods that determines import and export decisions.

This guide is not intended to be a comprehensive study of all aspects of the mining industry in Indonesia but rather a general guide to certain key considerations relating to investment and taxation in the sector. Companies intending to invest in Indonesia will need to carry out further research and obtain updated information about the investment and operational requirements. PwC Indonesia recommends that investors contact their specialist mining team as they consider investment opportunities.

The Investor Relations Unit (IRU) of the Republic of Indonesia was established as a joint effort between the Coordinating Ministry of Economic Affairs, the Ministry of Finance and Bank Indonesia in 2005. The main objective of the IRU is to actively communicate Indonesian economic policy and to address concerns of investors, especially financial market investors. Day-to-day activities of IRU are supported by all relevant government agencies, among others: Bank Indonesia, the Ministry of Finance, the Coordinating Ministry for Economic Affairs, the Ministry of Investment, the Financial Services Authority, the Ministry of State Owned Enterprises, and The Committee for Acceleration of

2019 and 2020 were exceptional for ASEAN in terms of foreign direct investment (FDI): 2019 saw the region’s highest-ever inflows, at USD 182-billion – making ASEAN the largest recipient of FDI in the developing world – and 2020 saw the unprecedented impact of the COVID-19 pandemic, with a 25-percent fall in FDI, to USD 137-billion. Despite the decline, ASEAN remained an attractive investment destination; the region’s share of global FDI rose from 11.9-percent in 2019 to 13.7-percent – more than twice the amount seen during the 2007–2008 global financial crisis and nearly five times more than the annual average during

A look at whether Foreign Direct Investment (FDI) influences spill over in the manufacturing sector in Indonesia from the perspective of industry, province, and technology intensity. The coordination between central and local governments remains essential to ensure that local companies are sufficiently competitive with foreign companies.

The Ministry of Investment/ Indonesia Investment Coordinating Board (BKPM) have compiled this extensive look at Foreign Direct Investment (FDI) and Domestic Direct Investment (DDI) in Indonesia including where investment is coming from, which parts of the country are attracting it and in which sectors.

The myriad of laws and regulations (at the Government and Ministerial level) on electronic transactions makes it difficult to navigate the regulatory framework. This guide by Rouse attempts to lay out the applicable regulations as at the date of publication. There are several regulations and circulars omitted in this guide although it can be implied that they are no longer applicable. This guide should not be regarded as legal advice and consultation with qualified adviser is necessary.