Please see below information that indicates the deduction that will be made from your payment depending on your tax registration in Indonesia. These rules are set by the Indonesian Government.
- PPH 23 withholding tax for services/management is 2 % (if income receiver is business entity)
- PPH 21 withholding tax is 5 % - 35 % depending the received amount from Individual tax payer.
- PPH 21 for artist is 50 % of normal tax tariff.
- PPH 21 and 23 for non Indo tax payer (without NPWP) is 20 % higher than normal tax tariff.
- PPH 26 for foreigner is 20 % or can be down if having tax treaty with Indo Govt by providing COD.
- Withholding tax is deducted from the sales/service fee amount excluding the VAT.