Part of the series: The Reporting Year
- PT PMA Reporting Obligations: The Indonesian Company Reporting Year Mapped
- Why a PT PMA Carries the Large Enterprise Classification
- Why a PT PMA Pays the Same Corporate Income Tax as a Local Company
The Reporting Year · TraceWorthy Financial Services
A foreign-owned company files the same core reports as the limited liability company next door. Set the year out as a calendar and the volume stops looking like a measure aimed at foreign ownership.
A foreign-owned limited liability company in Indonesia meets a reporting schedule that feels relentless in its first year or two of operation. The volume is real, and for many owners it is heavier than the regime they knew at home. The point worth absorbing early, as you map your PT PMA reporting obligations, is that this schedule applies to limited liability companies across Indonesia, foreign-owned and domestically owned without distinction.
Eight reporting lines run through the Indonesian company year, and a PT PMA carries most of them from the day its Business Identification Number (Nomor Induk Berusaha, or NIB) is issued. Each line traces to a specific instrument and reports to a named authority on a fixed schedule.
The reporting year at a glance
| Reporting line | What it covers | Applies to | Frequency | Filed through |
|---|---|---|---|---|
| Income tax instalments (PPh 25) | Monthly prepayment of the annual tax bill | Companies with taxable income | Monthly | Coretax |
| Annual Corporate Income Tax Return (SPT Tahunan PPh Badan) | Full-year tax reconciliation | All limited liability companies | Annual, four months after year end | Coretax |
| Employee income tax (PPh 21) | Withholding on salaries and wages | All employers | Monthly | Coretax |
| Value Added Tax (PPN) | Tax on taxable supplies of goods and services | Registered taxable enterprises | Monthly | Coretax |
| Investment Activity Report (LKPM) | Investment realisation and workforce data | Investment-licensed companies, foreign and domestic | Quarterly for large enterprises | OSS system |
| Annual Company Financial Report (LKTP) | Audited annual accounts | Companies over the size threshold | Annual, within six months of year end | Ministry of Trade portal |
| Company Annual Report | GMS approval of the annual report, recorded in a notarial deed | All capital-based limited liability companies | Annual; deed lodged within thirty days of signing | SABH, Ministry of Law |
| Mandatory Manpower Report (WLKP) | Workforce composition and employment data | All employers | Annual | Ministry of Manpower portal |
Corporate income tax: monthly prepayments and one annual return
The standard corporate income tax rate for a resident company is 22 per cent, a figure unchanged since 2020 and expected to remain in place through 2026. Tax is collected ahead of the annual reckoning through monthly instalments under Article 25, which function as prepayments against the eventual bill. The Annual Corporate Income Tax Return (SPT Tahunan PPh Badan) falls four months after the fiscal year ends, which means 30 April for any company on the calendar year. Any shortfall between the instalments and the final liability becomes Article 29 tax, payable by the same date.
For the 2025 fiscal year, the Directorate General of Taxes extended the corporate filing window to 31 May 2026 and waived the usual late-filing sanctions, a one-off relief tied to the migration onto the Core Tax Administration System (Coretax). Coretax now carries registration, payment, reporting and verification for every taxpayer, replacing the older online portal. The underlying tax framework sits in Law No. 7 of 2021 on the Harmonisation of Tax Regulations, known as the HPP Law, and current returns are filed through the Directorate General of Taxes system.
Value added tax applies above the registration threshold
A company becomes a Taxable Enterprise (Pengusaha Kena Pajak, or PKP) once its annual turnover reaches IDR 4,800,000,000 (four billion, eight hundred million Indonesian Rupiah), and registration below that figure is voluntary. Once registered, a company files Value Added Tax (Pajak Pertambahan Nilai, or PPN) returns every month. The headline rate under the HPP Law is 12 per cent, although the effective rate on most goods and services remains 11 per cent, because Minister of Finance Regulation No. 131 of 2024 applies the tax to an 11/12 base. The full 12 per cent reaches designated luxury items such as high-value vehicles, private aircraft, yachts and premium residential property.
Employee taxes and social security follow payroll
Every employer withholds employee income tax (PPh 21) each month and remits it through Coretax. Contributions to the national health and employment social security schemes, BPJS Kesehatan and BPJS Ketenagakerjaan, run on the same monthly rhythm. These obligations attach to the act of employing people in Indonesia and apply to every employer on equal terms, whatever the nationality of the shareholders.
The investment activity report: quarterly, through the OSS system
The Investment Activity Report (Laporan Kegiatan Penanaman Modal, or LKPM) records investment realisation, workforce numbers, production figures and any obstacles a company has met during the period. It is governed by Regulation of the Minister of Investment and Downstreaming / Head of the Investment Coordinating Board (Badan Koordinasi Penanaman Modal, or BKPM) No. 5 of 2025, and it is filed through the Online Single Submission (OSS) system. Medium and large enterprises report quarterly, with each filing due between the first and the tenth of January, April, July and October.
The same obligation reaches investment-licensed companies of both foreign and domestic ownership. This is the clearest signal that the obligation follows investment status, applying to investment companies of either kind. A PT PMA reports quarterly because it is classified as a large enterprise, a classification examined in the next article in this series. Missed filings draw escalating administrative sanctions, beginning with a written warning and proceeding, if the company stays silent, to suspension of business activity and then revocation of the NIB.
Annual financial statements and the audit threshold
Under Law No. 40 of 2007 on Limited Liability Companies, known as the Company Law, the board prepares annual financial statements to the Indonesian Financial Accounting Standards (PSAK) and presents them to the annual general meeting of shareholders for ratification as one component of the annual report addressed below. An independent audit becomes mandatory once a company reaches IDR 50,000,000,000 (fifty billion Indonesian Rupiah) in total assets or in annual turnover, or where it manages public funds, issues debt instruments, operates as a bank or insurer, or is publicly listed.
Companies that meet a size or sector test submit the Annual Company Financial Report (Laporan Keuangan Tahunan Perusahaan, or LKTP) through the Ministry of Trade portal within six months of the financial year end, under Regulation of the Minister of Trade No. 25 of 2020. Accounting records and supporting books are retained for ten years from the end of the reporting period. A company below the threshold still prepares annual financial statements for its shareholders; what changes above the threshold is the requirement for an external audit and the LKTP filing.
The annual report: approved at the general meeting, lodged with the Ministry of Law
Regulation of the Minister of Law No. 49 of 2025 on the Requirements and Procedures for the Establishment, Amendment and Dissolution of Limited Liability Companies, in force since 17 December 2025, attaches a notarial and filing step to the annual report that earlier practice did not impose. The directors present the annual report to the annual general meeting within six months of the financial year end, and the meeting’s approval of that report is recorded in a notarial deed. The content of the report follows Articles 66 and 67 of the Company Law, covering the financial statements, the activity report, the social and environmental responsibility report, the issues that arose during the year, the supervision report of the Board of Commissioners, the composition of the board, and remuneration, signed by every serving director and commissioner.
Within thirty days of the deed being signed, the company submits the deed together with the annual report to the Ministry of Law through the Legal Entity Administration System (Sistem Administrasi Badan Hukum, or SABH), and the Minister issues a receipt of notification. A company that does not complete the sequence faces administrative sanctions under the regulation, rising from a written warning to suspension of SABH access, which freezes the company out of other legal-entity filings until the position is corrected.
This deed records the general meeting’s approval of the annual report. It is a separate instrument from a deed amending the articles of association, which serves a different purpose and follows its own route to the Ministry. A PT PMA meets this obligation as a capital-based limited liability company, whatever its size, including where its financial statements fall below the audit threshold.
Mandatory manpower reporting, every year
Law No. 7 of 1981 on Mandatory Manpower Reporting in Companies requires every employer to file a Mandatory Manpower Report (Wajib Lapor Ketenagakerjaan Perusahaan, or WLKP). The first report is due within thirty days of establishment, and a renewed report follows each year. It records workforce composition, working conditions, wages and welfare provision, and it is filed through the Ministry of Manpower portal, now linked to the NIB through the OSS system. The obligation applies to businesses of every size and sector, and a current WLKP is a precondition for foreign-worker permits.
A national schedule that applies to every company
The reporting lines above are creatures of general company and tax law, and they bind a domestically owned PT on the same terms as a PT PMA. Labour reporting follows the identical pattern. The single feature that separates a foreign-owned company is its classification as a large enterprise, which fixes the LKPM frequency at quarterly and shapes a handful of thresholds. That classification keeps room open for Micro, Small and Medium Enterprises, an approach common to many economies that apply one set of size tests to local and foreign investors alike.
A foreign-owned company in Indonesia reports under the same tax, company and labour law as its domestic neighbour. The size classification raises the capital it commits and sets the investment report to a quarterly rhythm.
The classification, the minimum capital that produces it, and the practical consequences for an operating business are the subject of the next article in this series.
Managing your PT PMA reporting obligations in-house
Mapped against a calendar and assigned to named owners, the reporting year resolves into a set of predictable dates that a small finance function can manage internally. Five pieces of groundwork protect a company through its first full cycle of filings.
| Step | What it secures | When |
|---|---|---|
| Activate access to Coretax and the OSS system | The two portals that carry tax filings and the investment activity report | As soon as the NIB is issued |
| Adopt a monthly close | Reliable figures for instalments, VAT and payroll returns | From the first month of trading |
| Diarise the quarterly LKPM windows | Protection of the NIB against suspension | January, April, July, October, by the tenth |
| Confirm whether the audit threshold applies | The audit and LKTP timeline for the year | At the close of each financial year |
| File the WLKP and renew it annually | Employment compliance and access to foreign-worker permits | Within thirty days of establishment, then yearly |
An owner who treats the corporate income tax cycle, the investment activity report, the annual financial statements and the manpower report as four fixed routines, each with a known owner and date, spends far less of the year reacting to deadlines. Familiarity with the calendar reduces the time each filing takes and the risk of a missed deadline.
When the reporting year needs a dedicated team
The eight reporting lines run to five separate government systems: the Core Tax Administration System, the Online Single Submission system, the Legal Entity Administration System, the Ministry of Trade portal and the Ministry of Manpower portal. Each carries its own deadlines and its own penalty for a late or missing filing. The annual report draws a notary into the cycle as well, since the general meeting’s approval reaches the Ministry of Law only after a deed has been drawn and lodged through SABH. Coordinating these across a financial year is the work that a foreign owner most often underestimates at set-up.
The financial services team at TraceWorthy runs this calendar for foreign-owned companies in Bali and across Indonesia. The team assigns each obligation an owner and a date, prepares the monthly and quarterly filings, coordinates the company notary for the annual report deed, and lodges it inside the thirty-day window. It tracks the changes that reach this field each year, the migration onto Coretax and the new deed-and-lodgement requirement among them, so a client’s calendar follows the current law. The people who prepare the filings are the people who know the company, so a query reaches someone already familiar with its structure.
A company deciding whether to run the year internally or place it with an advisory team can begin by costing the hours its own staff spend on filings against the exposure that a single missed deadline carries, from suspension of SABH access to revocation of the NIB. Where that calculation favours external support, this is the work the financial services team takes on as a managed function.
Frequently asked questions
Does a foreign-owned company pay higher corporate tax than a locally owned one?
No. The 22 per cent corporate income tax rate applies to every resident company, foreign-owned and domestic alike. Ownership affects the enterprise-size classification and the minimum capital a company commits. Some small-business reliefs are tied to turnover thresholds that apply to local and foreign companies on the same terms, and the third article in this series examines those.
Is the notarial deed for the annual report required for a small company below the audit threshold?
Yes. Regulation of the Minister of Law No. 49 of 2025 attaches the deed-and-lodgement step to the general meeting approval of the annual report for all capital-based limited liability companies. The audit threshold governs whether the financial statements need an external audit; it does not remove the deed obligation for a smaller company.
What happens if the investment activity report is filed late or missed?
The sanctions escalate. They begin with a written warning and move, if the company stays silent, to suspension of business activity and then revocation of the Business Identification Number, which stops the company operating. Filing on time within the quarterly windows avoids the sequence.
When is the annual corporate income tax return due?
Four months after the financial year ends, which means 30 April for a company on the calendar year. For the 2025 year only, the Directorate General of Taxes extended the window to 31 May 2026 and waived the usual late-filing sanctions, a one-off relief during the move onto Coretax.
Does a new company register for value added tax straight away?
Registration becomes obligatory once annual turnover reaches IDR 4,800,000,000 (four billion, eight hundred million Indonesian Rupiah). Below that level a company may register voluntarily. Once registered, value added tax returns are filed every month.
Which government systems will the company file through across the year?
Five carry the year. Coretax handles tax, the Online Single Submission system handles the investment activity report, the Legal Entity Administration System (SABH) handles the annual report deed, the Ministry of Trade portal receives the audited statements, and the Ministry of Manpower portal receives the manpower report.
This article provides general information on Indonesian reporting requirements as at May 2026 and does not constitute legal, tax or accounting advice. Regulations, rates and filing systems change, and the position for any individual company depends on its sector, licensing and financial profile. Obtain advice specific to your circumstances before acting on any point set out above.
Acronyms and Indonesian-language terms
| Term | Full form | Meaning in this series |
|---|---|---|
| BKPM | Badan Koordinasi Penanaman Modal | The Investment Coordinating Board, now within the Ministry of Investment and Downstreaming, which receives the investment activity report and sets the licensing and capital rules. |
| BPJS | Badan Penyelenggara Jaminan Sosial | The social security administering bodies for health and for employment, to which an employer pays monthly contributions. |
| HPP | Harmonisasi Peraturan Perpajakan | The Harmonisation of Tax Regulations Law, Law No. 7 of 2021, which fixed the corporate income tax rate and the value added tax rate. |
| IDX | Indonesia Stock Exchange (Bursa Efek Indonesia) | The exchange on which a company lists to reach the 19 per cent public-company rate. |
| LKPM | Laporan Kegiatan Penanaman Modal | The investment activity report, the quarterly return on the realisation of a company’s investment. |
| NIB | Nomor Induk Berusaha | The Business Identification Number, the foundational licence issued through OSS. |
| OSS | Online Single Submission | The risk-based electronic licensing system that issues the NIB and receives the LKPM. |
| PKP | Pengusaha Kena Pajak | A Taxable Enterprise, the status a company takes for value added tax once its turnover reaches the registration threshold. |
| PPN | Pajak Pertambahan Nilai | Value added tax. |
| PPnBM | Pajak Penjualan atas Barang Mewah | The Sales Tax on Luxury Goods, charged on designated luxury items alongside value added tax. |
| PT PMA | Perseroan Terbatas Penanaman Modal Asing | A foreign-investment limited liability company, the entity through which a foreign investor operates in Indonesia. |
| RPTKA | Rencana Penggunaan Tenaga Kerja Asing | The Foreign Worker Utilisation Plan, the approval an employer secures before engaging a foreign worker. |
| SABH | Sistem Administrasi Badan Hukum | The Legal Entity Administration System of the Ministry of Law, through which corporate changes and the annual report deed are lodged. |
| WLKP | Wajib Lapor Ketenagakerjaan Perusahaan | The mandatory company manpower report filed with the Ministry of Manpower. |
Legal instruments cited in the series
| Instrument | Full title | What it governs in the series | Article |
|---|---|---|---|
| Entity, capital and governance | |||
| Law No. 40 of 2007 | Law on Limited Liability Companies | The requirement that at least 25 per cent of authorised capital is issued and fully paid. | 2 |
| Law No. 6 of 2023 | Job Creation Law, enacting the Government Regulation in Lieu of Law on Job Creation | The removal of the fixed minimum authorised capital for a company. | 2 |
| Govt Regulation No. 7 of 2021 | Ease, Protection and Empowerment of Cooperatives and Micro, Small and Medium Enterprises | The enterprise size bands that classify a PT PMA as a large enterprise. | 2 |
| Minister of Law Regulation No. 49 of 2025 | Requirements and Procedures for the Establishment, Amendment and Dissolution of Limited Liability Company Legal Entities | The annual report, approved by deed and lodged through SABH. | 1 |
| Licensing and investment reporting | |||
| Law No. 25 of 2007 | Law on Investment | The duty on every investor to report investment realisation, the basis of the LKPM. | 1, 4 |
| BKPM Regulation No. 5 of 2025 | Regulation of the Minister of Investment and Downstreaming, also Head of BKPM, on Risk-Based Business Licensing and Investment Facilities | The minimum paid-up capital, the investment plan, and the LKPM frequency and sanctions. | 2, 4 |
| Minister of Law and Human Rights Regulation No. 22 of 2023 | On the investor stay permit, as amended in 2024 and 2025 | The personal shareholding figure of IDR 10,000,000,000 (ten billion Indonesian Rupiah) for the investor permit. | 2 |
| Corporate and indirect tax | |||
| Income Tax Law | Law No. 7 of 1983 on Income Tax, as amended | The corporate income tax base, the Article 25 instalments, the Article 26 withholding on payments abroad, and the Article 31E turnover relief. | 3 |
| Law No. 7 of 2021 | Law on the Harmonisation of Tax Regulations | The 22 per cent corporate income tax rate and the value added tax rate. | 1, 3 |
| Govt Regulation No. 30 of 2020 | Reduction of the Income Tax Rate for Domestic Corporate Taxpayers in the Form of Public Companies | The 19 per cent rate for a qualifying listed company. | 3 |
| Govt Regulation No. 55 of 2022 | Adjustment of Income Tax Regulations | The 0.5 per cent final tax on turnover up to the small-business ceiling. | 3 |
| MoF Regulation No. 131 of 2024 | On Value Added Tax on Goods and Services | The value added tax base and the 12 per cent rate on goods carrying the Sales Tax on Luxury Goods. | 1 |
| MoF Regulation No. 136 of 2024 | On the Global Minimum Tax | The 15 per cent minimum effective rate for groups with consolidated revenue of EUR 750,000,000 (seven hundred and fifty million Euros) and above. | 3 |
| Employment, social security and records | |||
| Law No. 7 of 1981 | Law on Mandatory Manpower Reporting in Companies | The basis of the WLKP. | 1 |
| Govt Regulation No. 34 of 2021 | On the Utilisation of Foreign Workers | The RPTKA, and the WLKP as a precondition for a foreign-worker permit. | 1 |
| Law No. 24 of 2011 | Law on the Social Security Administering Bodies | The basis of the monthly BPJS contributions. | 1 |
| Law No. 8 of 1997 | Law on Company Documents | The ten (10)-year retention period for company records. | 1 |
| Regional comparators | |||
| Foreign Investments Act of 1991 | Philippine Foreign Investments Act | The minimum paid-in capital for a foreign-owned domestic-market enterprise, set beside the Indonesian figure. | 2 |
| Foreign Business Act of 1999 | Thai Foreign Business Act | The minimum capital for a foreign business, set beside the Indonesian figure. | 2 |
Where to read these instruments
The text of every Indonesian law, government regulation and ministerial regulation listed above sits in the national legal database maintained by the Audit Board, at peraturan.bpk.go.id, and on the government portal peraturan.go.id. As an example, Law No. 25 of 2007 on Investment is at peraturan.bpk.go.id/Details/39903.
For the operational side, the tax authority at pajak.go.id carries guidance on the income tax and value added tax points, while the licensing system at oss.go.id and the investment ministry at bkpm.go.id carry the licensing and capital procedures, together with the forms for the investment activity report. The two regional comparators sit with their own authorities, the Philippine Securities and Exchange Commission and the Thai Department of Business Development.
Each instrument in the reference table above links to its authoritative source. Most resolve to the Audit Board database, with the two Minister of Finance regulations housed in the Ministry of Finance database and the two foreign comparators housed by the Philippine Official Gazette and the Thai Department of Business Development. A direct document link can move when a database is reorganised, so the database root and portals above remain the reliable point of re-entry should any link change.
This reference summarises instruments as cited in the Reporting Year series, current at May 2026, and does not constitute legal, tax or accounting advice. Regulations are amended and replaced, and the position for any individual company depends on its own facts. Confirm the current text of any instrument at the source before relying on it.