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How to Prepare for Your First Manpower and Tax Audit in Indonesia

How to Prepare for Your First Manpower and Tax Audit in Indonesia

For many foreign companies, the word “audit” triggers immediate concern. In reality, audits are a routine part of Indonesia’s regulatory environment. In 2026, with increasing digital integration across payroll, manpower, and tax systems, authorities rely more heavily on data cross-checking. Proper preparation transforms an audit from a crisis into a

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Indonesia’s Compliance Triangle in 2026

Indonesia’s Compliance Triangle in 2026: Tax, Manpower, and Immigration Are Now Interconnected

For years, many foreign companies treated tax, manpower, and immigration compliance in Indonesia as separate administrative functions. Payroll was handled by finance. Work permits were handled by HR. Corporate filings were handled by a local consultant. In 2026, this fragmented model no longer reflects regulatory reality. Indonesia’s governance systems have

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When Does Hiring in Indonesia Create Permanent EstablishmentRisk

When Does Hiring in Indonesia Create Permanent Establishment Risk ?

Hiring in Indonesia Is Not the Same as Being Taxable in Indonesia — Until It Is For many foreign companies, especially from Singapore, the United States, and Japan, hiring talent in Indonesia appears operationally simple. Whether through remote arrangements, representative activities, or Employer of Record (EOR) structures, workforce expansion is

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The First 12 Months That Define PT PMA Success or Failure

The First 12 Months That Define PT PMA Success or Failure

Why the First Year Matters More Than the Setup For many foreign companies, establishing a PT Penanaman Modal Asing (PT PMA) is seen as the final hurdle to entering the Indonesian market. Once incorporation is completed, bank accounts are opened, and licenses are issued, there is often a sense that

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The New Reality of Expatriate Compliance in Indonesia

The New Reality of Expatriate Compliance in Indonesia

The Old Compliance Model No Longer Works For years, many multinational companies managed expatriate compliance in silos. Immigration teams handled visas and stay permits, HR managed payroll, and finance oversaw tax reporting. As long as each function completed its respective task, compliance was assumed to be in order. By 2026,

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