The Minister of Finance (MoF) of Indonesia published a revised tax holiday policy through Regulation No.150/PMK.010/2018 (PMK-150). PMK-150 rules that are nurturing investment in Indonesia, the new regulation reduces the minimum investment threshold for pioneer industries from IDR 500 billion to IDR 100 billion.
PMK–150 reduces the minimum value to IDR 100 billion of new investment for the purpose of tax holiday benefit in pioneer industries from the previous minimum of IDR 500 billion under PMK-35. A company may enjoy a 50% income tax reduction for investment value between IDR 100 billion and IDR 500 billion for the first five fiscal years and a 25% income tax reduction for the following two fiscal years. The tax holiday benefit for investments of IDR 500 billion and above remains the same.Adding 2 new industries to the list of pioneer industries:
 The new regulation PMK-150 also adds following two new industries to the list of pioneer industries:
- Agricultural, plantation or forestry-based processing that produces pulp; and
- Digital economy, which includes data processing, hosting and related activities.
