Types of Income for Foreign Taxpayers Subject to Withholding Tax

On 21 October 2025, DDTCNews released an infographic detailing foreign taxpayers’ income subject to withholding tax. The graphic highlights the categories of earnings covered by the withholding rule.

Withholding tax is imposed under tax regulations that require tax to be deducted from income earned by taxpayers residing abroad. The term ‘withholding tax’ refers to the payer’s obligation to retain tax before the net amount is paid to the recipient.

Consequently, foreign taxpayers need to account for these deductions in their financial planning, and tax authorities can use the rule to improve cross‑border tax compliance. Read the full source at news.ddtc.co.id (https://news.ddtc.co.id/berita/infografis/1814611/jenis-jenis-penghasilan-wp-luar-negeri-yang-kena-pemotongan-pajak).