Tax Attorney

Taxation in Indonesia starts with self-assessment. This means that taxpayers calculate, pay, and report their tax obligations independently. Tax authorities have 5 years to test taxpayer compliance. If the 5-year period is exceeded, in general, the tax reports of the taxpayer is considered correct. There are provisions that give tax authorities to test taxpayer compliance after 5 years, but it requires reasons that are more likely to lead to allegations of criminal acts in the field of taxation.

If we focus on the 5-year stipulation period, the tax authority can conduct a tax audit with triggers such as the taxpayer submits a tax refund, the taxpayer reports losses in several consecutive years, or  the tax authority finds different data from other parties compared to the data reported by the taxpayer. In the tax audit process, there may be a dispute in terms of the value of the tax payable according to tax auditor compared to the tax payable according to the tax return. The disputes can end with a tax assessment letter or it must continue to the tax objection. And if the tax objection is rejected, the taxpayer can proceed to the tax court.

We as tax attorney are ready to assist clients in fighting for their rights to obtain justice in taxation in Indonesia. And it would be even better if we are trusted to accompany clients since the tax audit process, so that it has the potential to prevent disputes to the objection stage or tax court which requires more time, energy, and costs.