Tax and Accounting services such as tax reporting, tax planning, analysis of your entity’s tax obligations, tax incentives analysis, tax advisory on current activities, and/or tax impact on various business scenarios as well as reassessing the previous years’ tax and accounting reports for possible tax audits. Accounting services include maintaining bookkeeping: general ledgers, journals, and trial balances.
Tax and Accounting
Anywhere you set up a business, there will be a commitment to report your taxes to the Tax Authorities. Indonesia’s tax regulations are updated regularly. Your business should always be compliant with the latest regulations. To achieve this, you will need to maintain good bookkeeping and accounting reports that comply with standardized accounting and tax reporting guidelines.
We can help you with journal entries and bookkeeping for your transactions. We also can help you prepare monthly tax reports, tax calculations and tax payments. Correct and timely tax reports will ensure that you do not pay unnecessary fines from the Tax Authority. At Putranto Alliance, we help you understand the specific tax obligations and possible tax planning applicable to your business. Our tax and accounting team will also help you in keeping good bookkeeping and financial records, and generating tax and accounting reports according to the required standards.
/ Person Services
Tax Resident in Indonesia can apply as a Taxable Enterprise(s)/Person (PKP – Pengusaha Kena Pajak) so that they can charge VAT in their invoices. Tax Residents that have annual revenue of more than IDR 4.8 billion per year must apply for the PKP status immediately after their revenue hits IDR 4.8 billion. There is a separate tax law that governs the VAT on how, when, how much, and how to report. It is imperative to know the law thoroughly. Failure to apply VAT to your goods/services, to correctly report your output and input VAT, and to pay VAT in a timely manner, can result in a substantial amount of fines.
Putranto Alliance’s tax consultants can help you determine your eligibility as a PKP, apply for such status, calculate monthly VAT obligations, lodge monthly VAT reports to the Tax Authority, and help in issuing Tax Invoices.
There are several conditions for the Tax Authority to deem an individual or a business entity as a tax resident of Indonesia. Ignorance of those terms and conditions can result in fines and wrongly fulfilled tax obligations. With thorough knowledge of Indonesia Tax Law, Putranto Alliance can help you determine your eligibility as an Indonesian tax residence.
We can help you and your business obtain Taxpayer Identity Number (TIN/ NPWP – Nomor Pokok Wajib Pajak) or revoke it once you cease your business operation in Indonesia. Revocation of TIN involves a tax audit by Tax Authority, which we can also assist you with. In addition, we offer other TIN-related services such as amending data or applying for TIN for your branch office.
Assistance in Tax Objections,
Tax Appeal and Tax Audit
The Tax Authority has been tough on enforcing tax compliance. This results in an increasing number of tax audits and tax disputes. Good understanding of Tax and Company Law, and awareness of the time frame to lodge an objection or an appeal is crucial when dealing with such a situation. As with any court case in Indonesia, case settlements in tax disputes usually drag for months. Our registered tax consultant and tax attorney can help to represent and communicate your point of view during such tax disputes.
In such engagements, we will carefully review your data, your journals, and your tax reports. We anticipate problems, advise clients on the relevant data requirements, and provide recommendations and guidance for your case. We strive for maintaining good cooperation and seamless communication with the client so that the case can be properly represented in the Tax Court or the Tax Authority.
All businesses sought to be tax-efficient through proper tax planning. Applying tax strategies requires knowledge of current regulations and specific taxes applicable for a certain industry or certain conditions. For companies with a global presence, knowledge of tax treaties and tax regulations in the counterparty’s country will also play a big part in tax planning.
We go beyond tax compliance and proactively recommend tax-saving strategies to your benefit. Any tax planning for your businesses should include compliance with accounting standards and be in accordance with prevailing tax regulations. We can analyze your current practice and advise you on improvements and amendments if any.