When a company has its establishment or place of management in Indonesia, then that certain company is treated as a resident of Indonesia for the tax purpose. Those foreign companies that carry out business activities through a permanent establishment (PE) in Indonesia will generally have the same tax obligations as a resident taxpayer.
Tax Neutral-Mergers
Transfers of assets in business mergers, consolidations, or business splits must generally be at market value. Gains resulting from this kind of restructuring are assessable while losses are generally claimable as a deduction from income. However, a tax-neutral merger or consolidation, under which assets are transferred at book value, can be conducted but subject to… Read More
INDONESIAN TAX 