The Government’s concern on E-Commerce, particularly on business licensing and taxation for foreign business actors are welcomed with a big hope for modernization of e-commerce system in Indonesia.

BKPM Reg 1/2020 provides more details provisions and requirements for business license submission, particularly in relation to the minimum investment provisions for a foreign capital investment (PMA) company.

“How to conduct consultation with Government institutions?”

“How to liaise with notary to prepare a notarial deed including the amendment of articles of associations?

“How to submit an annual company filling, e.g., Annual Company Financial Report (Laporan Keuangan Perusahaan)?”

Large-scale social restrictions (PSBB: Pembatasan Sosial Berskala Besar) on social activities have also been implemented in various parts of Indonesia, which has caused restrictions on the business activities of the respective companies and has caused deterioration in business performance. In order to mitigate the impact of PSBB on enterprises, the Government of Indonesia has taken various measures to assist enterprises. One of these is tax reduction measures.

Since Covid-19 has been declared as a non-nature national disaster, business activities in sea transportation services and other similar business activities, are not exempted from business disruption as a result of restrictions in the port and terminal areas throughout Indonesia. That disruption of business does not only affect the operational activities, but also expose to potential risk of disputes in shipping contracts.