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8.3. Exit Strategies

An exemption from withholding tax on services may be claimed on the basis that the recipient is resident in a treaty country. The exemption applies if the services performed for a period of time not exceeding the threshold determined under the relevant treaty.  In addition, the recipient must also be able to demonstrate that it is the beneficial owner of the income. The Indonesian Tax Authority requires non-residents to file a form (Form DGT) with the Indonesian withholding tax agent confirming that the recipient is the beneficial owner of the income.