AicA | Alliance of Inter-Continental Accountants

Global member - Indonesia

Indonesia company formation is a legitimate way for international entrepreneurs to conduct business in Indonesia and throughout the Association of South East Asian Nations (ASEAN) region.

    Indonesia Company Formation
  1. An Indonesian company can be 100% foreign-owned and controlled. For more information on an Indonesian wholly-owned foreign company, visit our Indonesia Wholly-Owned Foreign Company (PMA) page. An Indonesia Representative Office can also be 100% foreign-owned and controlled, but is not permitted to make direct sales in Indonesia.
  2. Indonesia company formation permits entrepreneurs access to a network of double taxation treaties with countries including Australia, France, Germany, Singapore, South Africa, the US and the UK.
  3. The Indonesian economy is ranked as the 46th-most competitive economy in the world, according to the World Economic Forum's Global Competitiveness Report 2011-2012.
  4. With the exception of a representative office, a minimum of two shareholders and one directors is required to complete Indonesia company formation. The shareholders and directors details are available on a public register.
  5. An Indonesian representative office is not allowed to undertake revenue generating activities.
  6. An Indonesia Joint Venture company requires an Indonesian citizen to hold a share of at least 5% in the Company.
  7. An Indonesian company is liable to pay a corporation tax of 30% on income sourced in Indonesia and internationally. Capital gains are taxed at up to 30%. Additionally, Indonesia is positively ranked as the world's 114th freest economy in the Heritage Organisation’s 2010 Index of Economic Freedom, a measure of freedom enjoyed in business, trade, monetary, financial, investment and labour markets.
  8. Following Indonesia company formation, most entities are required to submit an annual tax return and audited financial statements.


Indonesia Hendrik & Rekan
Sudirman Plaza, Plaza Marein 17th Floor,
JI Jend Sudirman Kav. 76 – 78
Jakarta 12910 Indonesia
  • Telephone no:
    (62) 21 57935980