Tax Holidays for Pioneering Industries

The Head of the Indonesian Investment Coordinating Board (“BKPM”) recently issued Head of BKPM Regulation No. 13 of 2015 on Procedures to Apply for Corporate Income-Tax Deductions (“2015 Regulation”).[1]

In essence, the 2015 Regulation lays out the relevant procedures that have to be followed in order to secure a corporate income-tax deduction facility (commonly known as a “Tax Holiday”)[2]. Such tax holidays may be granted to corporate taxpayers who are investing in pioneering, cutting-edge industries in Indonesia.[3]