TAX UPDATES - June 2019
- By Admin
- 04 July 2019
ANOTHER SIGN OF INDONESIAN PARTICIPATION ON BEPS ACTION PLAN - UPDATED MAP PROCEDURES REGULATION
In this era of globalization, a lot of Indonesian taxpayers are dealing with international transactions. As a consequence, juridical double taxation will most likely arise, e.g. a resident of one jurisdiction derives income in another jurisdiction and both jurisdictions impose tax on the said income or part of such income. The situation that may follow is due to the fact that the country of origin will impose a withholding tax on royalty payments, while the country of residence taxes the taxpayer on their worldwide income by assessment.