Annual Income Tax Return Filing

A Tax Return is a document used by a Taxpayer to report their tax calculations and/or payments, Taxable Objects and/or Non-Taxable Objects, and/or assets and liabilities in accordance with the tax laws and regulations.

An Annual Income Tax Return is an Income Tax Return for a Tax Year or section of the Tax Year, which includes Annual Individual Tax Return and Annual Corporate Tax Return.

Provisions for Filling Out Tax Return

Any business entity registered as a Taxpayer, indicated by having a Taxpayer Identification Number (TIN), has an obligation to file Annual Income Tax Return.

As a Taxpayer, you should fill out, sign, and file your Tax Return correctly, completely, and clearly in Indonesian using Latin alphabet, Arabic numerals, and Rupiah currency to your Tax Office (KPP) or via other channels designated by the Directorate General of Taxes.

Any Corporate Taxpayer permitted to maintain their bookkeeping in English and US Dollar currency is required to file their Corporate Income Tax Return and annexes in Indonesian, except for financial statements, and US Dollar currency.

Types and Formats of Tax Return

The following are the types of Annual Income Tax Return:

  1. Annual Income Tax Return for a Tax Year; and
  2. Annual Income Tax Return for a section of the Tax Year.

The following are the formats of Tax Return:

  1. Electronic document; or
  2. Paper form (hardcopy).

Tax Return can be filed directly at:

  1. Service Desk (TPT) where the Taxpayer is registered; or
  2. Other places providing tax services run by the Tax Office or the Tax Services, Dissemination, and Consultation Office (KP2KP) where the Taxpayer is registered.

Besides filing directly, Tax Return can also be submitted by post, delivery company, or courier service with a delivery receipt.

Obligation to File Corporate Annual Tax Return Electronically

Annual Tax Return must be filed electronically by a Taxpayer who:

  1. Is registered with Medium Tax Office, Tax Office within the Special Jakarta Regional Tax Office, and Tax Office within the Regional Large Tax Office;
  2. Has previously filed their Annual Tax Return electronically;
  3. Uses tax consultant services to fill out their Annual Income Tax Return; and/or
  4. Has their financial statements audited by a Public Accountant.

Channels of Annual Corporate Income Tax Return Filing

  1. e-Filing, by uploading csv file from e-SPT application to the Directorate General of Taxes website (www.pajak.go.id) or an Application Service Provider [List of Application Service Providers];
  2. e-Form, by completing file downloaded from the djponline webpage and re-uploading it. Once delivered, an Electronic Receipt will be sent to the registered email.

Tax Return Considered Not Filed

A Tax Return will be considered not filed if:

  1. The Tax Return is not signed (if filed directly or delivered by post/courier service);
  2. The Tax Return misses the required information and/or documents;
  3. The Tax Return declaring overpayment is filed after 3 (three) years following the end of the Tax Period, section of the Tax Year, or Tax Year, and the Taxpayer has been provided with a written warning; or
  4. The Tax Return is filed after the Directorate General of Taxes conducts an audit, carries out an open tax crime investigation, or issues a Notice of Tax Assessment.

If the Tax Return is considered not filed, the Directorate General of Taxes must notify the Taxpayer in writing.

Document Requirements

  1. Financial Statements;
  2. Calculations of Gross Income & Payment (for Micro, Small, and Medium Enterprises Taxpayers);
  3. Reports of Debt to Equity Ratio & Foreign Private Debt (for Corporate Taxpayers with debt)
  4. Overviews of Master Document & Local Document (for Taxpayers conducting transactions with associated enterprises);
  5. Country by Country Report;
  6. List of entertainment expenses (if any);
  7. List of promotion expenses (if any);
  8. For Oil and/or Gas Taxpayers: Annual Report of State Revenue from Upstream Oil and/or Gas Activities.

 

For Permanent Establishments:

 

  1. Article 26(4) Tax Payment Slip (SSP);
  2. Notice of Investment;
  3. Consolidated/Combined Financial Statements.