Indonesia has issued Regulation No. 69 of 2024, extending the tax holiday incentives for pioneer industries as outlined in Regulation No. 130/PMK.010/2020.

Regulation No. 130/PMK.010/2020 replaces Regulation No. 150/PMK.010/2018 and extends proposal incentives from 9 October 2024 to 31 December 2025.

The Regulation also enforces Indonesia’s plans to implement the Pillar Two Global Minimum Tax Rules ( GloBE Rules) from  1 January 2025.

Accordingly, this regulation amends the Pillar Two global minimum tax, where eligible taxpayers in Indonesia will face an additional domestic minimum tax as per the laws and regulations that impose a global minimum tax on MNEs in Indonesia. This applies even to those receiving incentives before Regulation No. 69 of 2024 was issued.