
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
- 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.
- 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.
- 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.
- 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.
- An Indonesian representative office is not allowed to undertake revenue generating activities.
- An Indonesia Joint Venture company requires an Indonesian citizen to hold a share of at least 5% in the Company.
- 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.
- Following Indonesia company formation, most entities are required to submit an annual tax return and audited financial statements.
