PT PMA Registration in Indonesia: What You Need to Know

How to open a PT PMA?

To register a PT PMA, at least two founders are required. Indonesian partners are not necessary. The company can be registered remotely, without the need for personal presence. A detailed guide on PT PMA registration is available here. If you have any questions, fill out the free Google form, and we will review your case.

After submitting all required documents, you will receive:

• Articles of Association (AKTA/Certificate of Incorporation/Company Deed) – a document confirming the establishment of the company and its key details. (Sample)
• Company Tax Number (NPWP) (Sample)
• Company Identification Number (NIB) – the primary registration document (Sample)
• SK (Surat Keputusan) – a document confirming the shares of the founders (Sample)
• Licenses for business activities
• Access to the OSS system (Online Single Submission)
• Official corporate email, where notifications from government agencies will be received

The two founders can both hold director positions, but in this case, both must be present for signing important company documents, such as opening a bank account and other key actions. Typically, non-operational shareholders take on the role of commissioner. The minimum share is 10 million IDR, and 0 (zero) shares cannot be assigned to a founder. If the goal is to obtain an Indonesian residence permit, the shareholding must be at least 10 billion (not million) IDR on paper. The law does not specify a deadline for depositing capital.

At the start of the company in Indonesia, it is sufficient to open a virtual office in Denpasar or Badung (which Flado can assist with), and later change the address in the OSS system (if within the same region) to a real physical address. Your residential address is also acceptable if you have at least a one-year lease agreement.

For business operations after opening the company, you can choose any Indonesian bank. Some modern banks that provide fast service include CIMB Niaga, Permata, Mandiri. Bank representatives must visit the company’s address, even if it is a residential address.

How much does it cost to open a PT PMA?

The cost of opening a PT PMA starts from 15.5 million IDR, including one active license (low risk). Additional licenses increase the price.

• Competitors may offer higher prices, claiming they include everything while others do not. This is just marketing.
• Lower-cost options may require communication in Indonesian and handling certain aspects independently.

If you require professional assistance, our specialists will help you register your company in Indonesia with our English-speaking notary quickly and efficiently.
Start by filling out the Google form mentioned above.

Tax reporting for PT PMA in 2025

Since 2025, a new Coretax tax system has been launched, which is now available in English. The Coretax system has significantly simplified the tax reporting process. You are required to submit tax data monthly and annually.

Monthly tax payments:

• By the 20th of each month, log into Coretax, enter your income amount, and receive a code for tax payment PPh.
• Payments can be made via online banking or a bank terminal.
• Tax rate: for the first three years – 0.5% of revenue, then 11% of net profit.
• Regional taxes may apply (e.g., for restaurants) as well as VAT.

Annual tax declaration:

• Individuals (NPWP holders): must submit their declaration by the end of March.
• Legal entities (PT PMA): must submit their declaration by the end of April.
• If you have a personal tax number (NPWP), even if there was no income for the year, you still must submit a personal annual tax declaration, although it will only contain zeroes.
• When distributing dividends, founders must pay a personal tax of 10%.
• Errors in filing are minimized, as Coretax operates as a step-by-step questionnaire.

If you need help filling out your tax return, check out our free guide.

LKPM – investment reporting in OSS (BKPM)

LKPM (Laporan Kegiatan Penanaman Modal) is a report on investments and business activities. It must be submitted quarterly through the OSS system: Login.

The LKPM includes:

• number of employees (split by gender);
• total amount of investments and their purpose;
• business development stage (licenses, startup phase, active operations);
• BPJS number (if employees have already been hired).

Filling out LKPM takes about 10-15 minutes and is a mandatory requirement for all PT PMAs in Indonesia.

Social contributions: BPJS Ketenagakerjaan & BPJS Kesehatan

All officially hired employees must be registered in:

• BPJS Ketenagakerjaan – pension and employment insurance fund. Website
• BPJS Kesehatan – health insurance. Website

Changing a PT PMA

Since running a business is a complex process, you may need to:

• Change partners (always choose reliable partners from the start, avoid nominee founders),
• Amend the company’s Articles of Association,
• Modify investment amounts to extend Investor KITAS.

The cost of making changes, such as adjusting shareholder shares in the Articles of Association and SK, starts from 10 million IDR. Contact us to receive this service.

How to close a PT PMA?

• A shareholders’ meeting must be held (this can be done remotely via a notarial power of attorney) to dissolve the company and appoint a liquidator.
• A public notice of the company’s closure must be published in two national newspapers (for 30 days).
• The liquidator closes the company’s NPWP and finalizes financial matters.
• The final liquidation report is published again in the newspapers.
• The company is officially closed with the Ministry of Law and Human Rights.

The cost of closing a company starts from 19 million IDR. Contact us to receive this service.

⚠ Alternative option – suspending PT PMA operations (“belum active” status). To do this, you need to visit your local tax office.
In this case, taxes do not need to be paid, and no annual tax declaration is required, but the company cannot renew an Investor KITAS for those who previously had one.

Hiring employees? Important details

• Employment contracts can be drafted using our ready-made template.
• Foreigners can only work in one company and one job position. More details here.
• Government tax for hiring a foreign worker – $600 for six months or $1,200 for one year.
• Indonesian employees usually work under a one-year contract, which protects the employer.
• Mandatory payments – religious holiday bonuses (Christmas, Lebaran), and the 13th salary in December.
  Check all Indonesian public holidays and Bali holidays for 2025.

Conclusion: Can you manage PT PMA accounting on your own?

Yes, you can! In 2025, tax reporting has become much simpler, but it still requires attention to detail.
Key aspects to consider:

• Monthly tax payments through Coretax.
• Annual tax declarations for the company and shareholders.
• lkpm – quarterly investment reports.
• Regular BPJS contributions for employees.
• Closing the company requires public notices and legal procedures.

If PT PMA clients need professional support, we can provide contacts for a trusted accounting firm that can handle monthly tax reports and assist with your annual tax declaration (SPT).

Their services include obtaining company EFIN and personal EFIN, as well as complete accounting support.

If you master independent tax reporting, you can save at least 20 million IDR annually on professional services. Good luck!

If you have any questions, contact us here!