- Joined
- Aug 7, 2016
- Messages
- 3,057
I don't agree with the logic or rationale behind this post - i.e., don't dare enforce your tax laws against me or I won't employ as many low wage locals...As you know if you are on a retirement visa you will always have to employ at least one household staff. In any case it's a crocked argument to make as just about any 1. expat, or even 2. locally-owned business, can use the same rationale to argue why they shouldn't pay taxes.
I never said anything about a dare....that's your interpretation.
My information to snpark was many Indonesians are employed, even by retiree expats, who generally don't have an NPWP and pay tax yet, by law, they should.
If retiree pensions were diluted by the application of high taxes in RI, which would not be so highly taxed in the source country, could mean they may not be able to afford to employ staff. If the tax was so onerous that a retiree could not comply with employing even one local staff member I presume the retirement Kitas/Kitap would be invalidated...maybe?
1. Any expat that earns money in Indonesia pays taxes whether they have an NPWP or not...I have FD's that pay 20% on the interest accrued.
2. If locally-owned businesses are earning in Indonesia they are eligible to pay tax....nobody could rationally suggest otherwise so I don't see the relevance of this point.