Income Tax Article 23

Income Tax Article 23

Definition
Income Tax (PPh) Article 23 is tax withheld on income from capital, delivery services, or prizes and awards, in addition to the cut in Article 21.
Cutting and Receivers Income Cut Income Tax Article 23

    Cutting Income Tax Article 23:
        government agencies;
        Subjects Tax agencies in the country;
        implementation of activities;
        permanent establishment (BUT);
        representatives of other foreign companies;
        Individual taxpayer in a particular country, appointed by the Director General of Taxes.
    Beneficiary income of article 23:
        WP in the country;
        BUT
Rates and attractions article 23

    15% of the gross amount of:
        dividends unless dividends to individuals subject to the final, interest and royalties;
        prizes and awards in addition to the cut in income tax article 21.
    2% of the gross amount of rent and other income in connection with the use of property unless the lease of land and / or buildings.
    2% of the gross amount of remuneration technical, management, construction and consulting services.
    2% of the gross amount of benefits services, namely:
        Appraisal services;
        Actuarial Services;
        Accounting services, bookkeeping, financial statements and attestation;
        Services designer;
        Oil and gas drilling services in the field except by BUT;
        Supporting services in the field of oil and gas extraction;
        Mining services and supporting services in the field of mining other than oil and gas;
        Supporting services in the field of aviation and airports;
        Logging services
        Waste treatment services
        Service provider of workforce
        Brokerage services and / or agency;
        Services in the field of trading in securities, except those performed KSEI and KPEI;
        Custodial / storage-/ care, except those made by KSEI;
        Services dubbing (dubbing) and / or voiceover;
        Services movies mixing;
        Services with respect to computer software, including care, maintenance and repair;
        Installation services / installation of machinery, equipment, electricity, telephone, water, gas, air conditioning, and / or cable TV, in addition to those performed by the taxpayer scope in construction and has a license and / or certification as a construction entrepreneur
        Care services / maintenance / maintenance of machinery, equipment, electricity, telephone, water, gas, air conditioning, and / or cable TV, in addition to those performed by the taxpayer scope in construction and has a license and / or certification as a construction entrepreneur
        Toll manufacturing services
        Investigation and security services;
        Services organizer or event organizer;
        Packing services;
        Provision of services and / or time in the mass media, outdoor media or any other media for information delivery;
        Pest extermination services;
        Janitorial or cleaning service;
        Catering or culinary.
    For those who are not air-TIN cut 100% higher than the rate ore article 23
    The meaning is the total amount of gross income paid, provided to be paid, or was due payment by the government, subject to tax in the country, organizing activities, a permanent establishment, or representatives of other foreign companies to taxpayers in the form of domestic or permanent establishment, excluding:
        Payment of salaries, wages, honoraria, allowances and other payments as compensation in connection with work diabayarkan by WP manpower provider to the workforce who do the work, under a contract with the service users;
        Payment of the procurement / purchase of goods or materials (as evidenced by the purchase invoice);
        Payments to the second party (as an intermediary) to further paid to third parties (as evidenced by third-party invoices accompanied by written agreement);
        Reimbursement payment (reimbursement) that reimbursement amount ostensibly paid by the second party to a third party (as evidenced by invoices or proof of payment has been paid to third parties).

    Gross amount shall not apply:
        On income paid in connection with catering services;
        In terms of income paid in relation to services, has been subject to final tax;
Calculation of Income Tax Article 23 payable using gross amount excluding VAT
Excluded from Withholding Tax Article 23:

    Income paid or payable to the bank;
    Rent paid or payable in connection with the lease with option rights;
    Dividends or share of profits derived by the limited liability company as WP in the country, cooperatives, state / enterprises, from equity investment in a business entity incorporated and domiciled in Indonesia with the following requirements:
        dividends from retained earnings reserves;
        for a limited liability company, state / enterprises, ownership of shares in entities that provide dividends at least 25% (twenty five percent) of the total paid-up capital;
        Part profits derived by members of a limited partnership whose capital is not divided into shares, partnership, association, joint venture firms and includes holders of units in a collective investment contract;
        SHU cooperative paid by the cooperative to its members;
        Income paid or payable to the financial services entity that serves as a conduit loan and / or financing.
When Due, Deposit, and Reporting Income Tax Article 23

    Income Tax Article 23 payable at the end of the payment, provided to be paid, or was due payment, depending on the events that occurred first.
    Article 23 Income Tax Withholding taxes paid by no later than the tenth calendar month following the month in which the tax payable.
    The SPT was delivered to the local Tax Office, no later than 20 days after the taxes expired.
In terms of maturity of deposit or the reporting deadline for article 23 to coincide with holidays including Saturdays or public holidays, depositing or reporting can be done on the next working day.
Article 23 Income Tax Withholding Evidence
Cutting taxes must provide proof Withholding Tax Article 23 to the taxpayer or entity that has deducted income tax article 23.