Inflation Control and Financial Facilities Strategy
Fiscal Incentives:
Super Deduction For Research & Development
The Government developing a super deduction tax scheme to
provide businesses with incentives to conduct research and
development in the hopes of spurring innovation
Object
Certain R&D activities in
Indonesia, the costs of which
are charged within a certain
period.
Subject
Domestic corporate taxpayers|
who carry out certain research
and development (R&D) activities
in Indonesia.
Amount of facilities (proposed)
Real Cost
Additional:
Commercialisasion
Stages
RPMK
100%
100%
Registration of Intellectual Property Rights (IPR) in the form
of Patents or Plant Variety Protection Rights (PVT) in the
country
50%
Registration of IPR abroad / product innovation
25%
Collaboration with government / private R&D institutions
25%
Total
300%
Source: Coordinating Ministry for Economic Affairs
Income Tax Law (Law No.7/1983 jo. Law
No. 36/2018)
Article 35:
Matters that have not been sufficiently
regulated by law are further regulated by
Government Regulation
Article 29C:
Law No. 45/2019
Facility for reducing gross income for domestic
taxpayers conducting certain research and
development activities in Indonesia
■ The maximum gross income reduction facility is
300% of the cost
Further arrangements through
regulations
Technical Regulations (RPMK)
technical
In the process of coordinating the drafting of the
Minister of Finance Regulation (IDRMK) with the
Ministry of Finance, the Ministry of Research and
Technology, and the Ministry of IndustryView entire presentation