Taxation

Taxation On Equities Investment

Type of Income Domestic Foreign
Capital Gain
Individual and Corporate 0,1% of gross value of the stocks’ transaction.
[PPh Pasal 4 ayat 2]
* The founder's share transactions additional rate is 0.5% of the value of the company's shares at closing of stock exchange at the end of 1996, or the stock's IPO value for the company that traded after January 1, 1997.
* IDX Fee Transaction and VAT Broker Fee 10%.
0,1% of gross value of the stocks’ transaction.
[PPh Pasal 4 ayat 2] 
Dividen
Individual 10% of gross value of stocks’ transaction(NPWP)
[PPh Final Pasal 4 ayat 2]
20% of gross value of stocks’ transaction (Non-Tax Treaty)
[PPh Pasal 26]
* Tax Treaty applies to foreign investor’s country that has tax treaty with Indonesia and there is Certificate of Domicile (COD).
Total Liabilitas 15% of gross value of stocks’ transaction (NPWP), 30% (non-NPWP)
[PPh Pasal 23]
* Not applicable for share ownership > 25%.


Taxation On Bonds Investment

Type of Income Domestic Foreign
Interest and/or Discount*
Individual and Corporate 15% the deductions on the maturity of the Bond.
[PP 16 Tahun 2009 tentang PPh atas Bunga Obligasi bersifat Final]
20% of gross value of stocks’ transaction (Non-Tax Treaty)
[PPh Pasal 26]
* Tax Treaty applies to foreign investor’s country that has tax treaty with Indonesia and there is Certificate of Domicile (COD).

* Interest is the gross amount of the interest based on the term of the bonds’ ownership), the discount is the excess of the selling price of the nominal value of the bonds, excluding interest.
* Interest Withholding Income Tax (PPH Pasal 4 ayat 2)

Taxpayer of pension fund that the establishment has been approved by the Minister of Finance and fulfills the requirements as Pasal 4 ayat 3 of the Income Tax Law (income from capital that invested by pension funds in certain areas determined by KMK.

Taxpayer of bank that established in Indonesia or branch of foreign bank in Indonesia