REPUBLIKA.CO.ID, JAKARTA – Indonesian government was ready to implement 25 percents of tax to Facebook. The information and Technology Company based in California, USA had had the license for permanent business.

The policy was based on income tax tariff article 25/29 implemented for permanent business ran in Indonesia. Director of Counseling, Services and Public Relations of Directorate General of Tax of Financial Ministry Hestu Yoga Saksama said, Facebook would automatically be a corporate taxpayer so it charged with income tax tariff as the other taxpayers.

But, the final tax calculation for Facebook would still consider the tax tariff review for income permanent business for foreign tax subject. It presented internet services or over the top services. The evaluation would consider the diverted profit tax.

“It (Facebook) will be foreign taxpayer, the tariff is the same to the domestic, 25 percents. So not the income tax based on article 26. Once it becomes a permanent business, it might follow the regime Law on Indonesian income tax,” said Hestu at Mar'ie Muhammad Building, Central Offices of Directorate General of Tax on Wednesday (June 21).

Hestu said so far Facebook's income in Indonesia had been cut for income tax based on article 26. The rule said income tax cut was the income sourced from Facebook operational in Indonesia with 20 percents of tariff.

Previously, the Regional Head of Directorate General of Special Tax Muhammad Haniv said the tax deposited by Facebook was based on the scheme of income tax 26. It means that the corporation advertised in Facebook must cut its tariff to tax for 20 percents.

“So the advertisement payment of Indonesian consumers had been cut by income tax in article 26 for 20 percents. So, we did not lost (the tax value) much. For example, you advertise in Facebook for Rp 2 billion, they only got Rp 1,6 billion and Rp 400 million would come to state income,” said him.

Ikuti Whatsapp Channel Republika