Article 21

Article 21 income tax (PPh 21)

Employers are required to withhold Article 21 income tax from the salaries payable to their employees and pay the tax to the State Treasury on their behalf. The same withholding tax is applicable to other payments to non- employee individuals (e.g., fees payable to individual consultants or service providers).  Resident individual taxpayers without an Taxpayer Identification Number are subject to a surcharge of 20% in addition to the standard withholding tax.

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