Free PPh for Exporters Parking DHE SDA of Six Months or More

In 2000, the government issued Regulation of the Government No. 131 of 2000 on Income Tax (Pajak Penghasilan – “PPh”) on Time Deposits, Savings Interest and Discounts (Diskonto) for Bank Indonesia (“BI”) Certificates, as amended by Regulation of the Government No. 123 of 2015 (collectively referred to as “Regulation 131/2000”). Among the various provisions set out under Regulation 131/2000, this framework addressed the applicable rates of PPh that could be imposed upon interest on deposits, savings and discounts for BI certificates.[1]