Indonesia is preparing a bill that will make tech firms such as Alphabet Inc’s Google and Amazon pay value added tax (VAT), Finance Minister Sri Mulyani Indrawati said. Such companies will be considered a “permanent establishment” liable for VAT in Indonesia regardless of whether they have a physical office in the country or not, Indrawati said in a statement issued by the Cabinet Secretariat late on Tuesday. The minister said it was “because they have what is called a significant economic presence, although they don’t have a branch here,” listing Google, Amazon and Netflix as examples of companies to be affected by the upcoming rules.

source https://finance.yahoo.com/news/indonesia-plans-tax-overhaul-tech-032144138.html?.tsrc=rss