Requirements for Taxpayers to Be Declared Non‑Active

On 6 November 2025, the Directorate General of Taxes announced the criteria for classifying a taxpayer as non‑active. The announcement was issued in a new circular applicable to all taxpayers in Indonesia.

A taxpayer is deemed non‑active when there is no taxable income, no tax‑generating transactions, and no filing of a Tax Return (SPT) for three consecutive years. The taxpayer must also have no outstanding tax liabilities.

The non‑active status relieves the taxpayer from annual filing obligations, but it limits the ability to claim refunds or tax credits until the status is changed back to active.