The Ministry of Trade (“MoT”) has implemented a revision of MoT Regulation No.50 of 2020 to enhance the protection of domestic business actors, specifically in the e-commerce sector. MoT Regulation No.31 of 2023 (“MoTR No.31 of 2023”) came into effect on 26 September 2023, regulating Business Licensing, Advertising, Development, and Supervision of Business Activities in Trading Through Electronic Systems…

Complying with the rules is certainly one for the main factors of upholding a conducive and efficient climate of capital investment. In Indonesia, whether you are an individual or business entity running an investment company (“investors”), foreign or domestic, in making capital investments in Indonesia there are certain obligations and procedures that one must follow. One of which is stipulated in…

Indonesia is renowned for its abundant mineral and coal resources, making it a formidable player in the global mining industry. The nation’s diverse geological landscape hosts extensive reserves of coal, minerals, and metals, contributing significantly to both domestic energy production and export revenues. With one of the world’s largest coal reserves, Indonesia has positioned itself as a crucial supplier of coal to nations across Asia, further…

Significant changes in Indonesian labor law occurred with the enactment of the Omnibus Law in 2023, Law No.6 of 2023. One of the notable changes pertains to the provisions regarding Fixed-Term Employment Contracts (known as Perjanjian Kerja Waktu Tertentu (PKWT) in Indonesia), which previously PKWT had a maximum duration of 3 years. However, under the Omnibus Law and Government Regulation No. 35 of 2021 concerning…

According to the OECD’s definition, Residency by Investment and Citizenship by Investment schemes, often referred to as ‘Golden Visa’ and ‘Golden Passport’, are policies implemented by a country to grant residency or citizenship to foreign nationals through investment or by paying certain fees. In 2022, it is estimated that more than 60 countries have implemented such investment-based residency and citizenship…

On October 13, 2023, the Ministry of Finance of Indonesia issued Regulation No.96 of 2023 concerning Customs, Excise, and Tax Provisions on the Import and Export of Consignment Goods (“PMK 96/2023”), which effective from October 17, 2023. The issuance of PMK 96/2023 is a vital part of the Ministry of Finance’s efforts to enhance its services by providing legal certainty and clear regulations regarding customs, excise, and tax provisions for…

Starting on 1 January 2024, the Branch Taxpayer Identification Number (NPWP Cabang) will be abolished, and according to Minister of Finance Regulation No. 112/PMK.03/2022 regarding NPWP for Individual Taxpayers, Corporate Taxpayers, and Government Institution Taxpayers (PMK 112/2022), the Branch NPWP will be replaced by the Identification Number of Business Activity (Nomor Identitas Tempat Kegiatan Usaha or NITKU).

The Domestic Component Level (Tingkat Komponen Dalam Negeri or TKDN) certification has become an essential element in the progress of industries in Indonesia. Business actors must take a crucial step of securing government assistance for TKDN certification. TKDN, represents the proportion of domestically produced components’ value. This concept encompasses a wide array of products, spanning both goods and services, along…

On September 25, 2023, the President of the Republic of Indonesia, Joko Widodo, signed Presidential Regulation No.57 of 2023 regarding Mandatory Reporting of Job Vacancies, which repealed Presidential Decree No.4 of 1980 concerning Mandatory Reporting of Job Vacancies. This regulation was issued with the aim of improving the service of workforce placement within a unified labor market by ensuring the availability of accurate and suitable job vacancy information.