Income Tax Incentives for Investments within Certain Business Sectors and/or Regions Updated

With the aim of promoting and increasing direct investments within Indonesia, as well as promoting the equalization and acceleration of development within certain business sectors and/orcertain regions, the Indonesian Government recently issued Regulation of the Government No. 78 of 2019 on Income-Tax Facilities for Investments within Certain Business Sectors and/or Certain Regions (“ Regulation 78/2019 ”). In order to achieve the abovementioned objectives, Regulation 78/2019 updates the scope of and simplifies procedures for the granting of income-tax (pajak penghasilan– “ PPh ”) facilities to any domestic corporate taxpayers (“ Taxpayers ”) which are investing in: [1]