Foreign investors in Indonesia must register for VAT once their annual turnover exceeds IDR 4.8 billion (US$300,000). After registration, all VAT invoices must be issued and validated through the e‑Faktur system, with monthly reporting and reconciliation required. Non‑compliant invoices and inconsistencies between invoices, returns, and accounting records can trigger audits and penalties.
VAT registration becomes mandatory when a company’s annual turnover exceeds IDR 4.8 billion (US$300,000).
Foreign investors must use the e‑Faktur system; invoices must be generated and validated through it.
Companies must report VAT monthly, reconciling issued invoices, VAT figures, and accounting records.
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2FIRSTS · 1 day ago
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