An OECD update confirms that Indonesia has completed its internal procedures for the Multilateral Instrument to take effect for its tax treaty with the Czech Republic, setting out application dates from 2026 and 2027.
According to an update from the OECD, Indonesia deposited, on 12 January 2026, an updated notification confirming the completion of its internal procedures for the entry into effect of the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI) in respect of its tax treaty with the Czech Republic.
With the deposit of the notification, the MLI provisions apply to the 1994 Indonesia–Czech Republic tax treaty for taxes withheld at source on amounts paid or credited to non-residents where the taxable event occurs on or after 1 January 2027. For other taxes, the MLI applies in Indonesia for taxable periods beginning on or after 1 January 2027, and in the Czech Republic for taxable periods beginning on or after 11 November 2026.
The document consolidates Indonesia’s notifications under Article 35 of the Convention confirming completion of internal procedures across a wide range of Covered Tax Agreements. It records notifications for numerous partner jurisdictions, extensions to the list of covered agreements, the withdrawal of a reservation in relation to Finland, and additional legal notifications, tracking Indonesia’s progress in implementing the MLI across its treaty network.
