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Indonesia Extends Period for COVID-19 Relief Measures and Further Expands Eligibility

24 July 2020

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Approved Changes

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Indonesia

Indonesia's Ministry of Finance has issued Regulation No. 86/PMK.03/2020, which extends the period and the scope of sectors eligible for the COVID-19 relief measures introduced primarily for the manufacturing sector in April 2020 and subsequently extended by Regulation No. 44/PMK.03/2020. The relief includes: an employee income tax exemption for employees with income of less than IDR 200 million; a 30% reduction in monthly corporate tax payments; an import tax exemption; and the acceleration of VAT refunds, as well as an increase in the maximum VAT refund limit to IDR 5 billion. Previously scheduled to apply from April to September 2020,...