The Director General of Taxes has issued regulation No. PER-5/PJ/2023 concerning acceleration of tax refunds. This regulation becomes effective on 9 May 2023.

Qualified individual taxpayers who have submitted annual income tax returns with a maximum overpayment amount of IDR 100,000,000.00 (one hundred million rupiah) and are requesting refund under Article 17B or 17D of the General Tax Provisions Law may be granted a preliminary refund.

If the Director General of Taxes audits a Taxpayer who has received a preliminary refund and issues an Underpaid Tax Assessment, the taxpayer will only receive an administrative sanction in the form of interest under Article 13 paragraph (2) of the Law on General Provisions and Tax Procedures instead of an increment penalty of 100%.