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1.1.1.3. Types of Partnerships and Hybrid Entities Available for International Business / Structuring

The use of partnership is limited by the Investment Law; hence it is rarely used as investment vehicles. For foreign investors, the PT is the only form permitted under the Investment Law.

Partnerships are considered as an entity for Indonesian corporate tax purposes. Profit of a partnership is subject to tax at the corporate level, and is not subject to further tax at the level of each partner.