Who is Required and Not Required to Report SPT? Check the List of Groups and the Differences

Kapanlagi.com - Every year, taxpayers in Indonesia have the responsibility to report the Annual Tax Return (SPT) as part of their compliance with the applicable tax regulations. However, did you know? Not all individuals or businesses are required to report SPT! This depends on certain criteria set by the Directorate General of Taxes (DJP). Therefore, it is very important for the public to understand who falls into the group required to report SPT and who is exempted.

Understanding the SPT reporting rules well not only helps taxpayers fulfill their obligations, but it can also prevent them from penalties or fines due to delays or negligence in tax reporting. The categories of taxpayers required to report SPT or not are determined based on income status, economic activities, and specific conditions regulated in tax legislation.

In this article, we will explain in detail the groups that are required to report SPT as well as the categories that are exempt from this obligation. So, pay close attention to the differences below, summarized by Kapanlagi.com, Thursday (13/2).

1. Taxpayers Required to Report Annual Tax Returns

Based on the Regulation of the Directorate General of Taxes (DJP) No. Per-53/PJ/2008, every individual or business entity that meets the subjective and objective requirements of taxation is required to report the Annual Tax Return (SPT). The Tax Identification Number (NPWP) serves as an identification tool in the tax administration system and forms the basis for the implementation of tax rights and obligations.

Individual taxpayers who are required to report the SPT are divided into two main categories, namely domestic taxpayers and foreign taxpayers. Domestic taxpayers include individuals who are domiciled in Indonesia, have lived in Indonesia for more than 183 days within a 12-month period, or have the intention to reside in Indonesia for a certain period.

On the other hand, foreign taxpayers are individuals who, although not residing in Indonesia for more than 183 days, still earn income from domestic sources or conduct business through a permanent establishment (BUT) in Indonesia. In addition, based on DJP Regulation No. Per-20/PJ/2013, the following groups are also required to have an NPWP and report their SPT:

• Individuals earning income above the Non-Taxable Income (PTKP).
• Women who are married but living separately and wish to pay taxes independently.
• Business entities that have obligations to pay, withhold, and collect taxes.
• Treasurers tasked with withholding or collecting taxes.
• Individuals who voluntarily choose to have an NPWP for tax administration purposes.

2. Taxpayers Not Required to Report Annual Tax Returns

According to the Minister of Finance Regulation (PMK) Number 81 of 2024, the government provides exemptions for certain taxpayers from the obligation to report Annual Tax Returns. This exemption applies to taxpayers classified as Non-Effective (NE), who will not be subject to penalties even if they do not report their tax returns.

The categories of taxpayers that can be classified as Non-Effective (NE) include:

• Taxpayers who have experienced a decrease in income to below the PTKP threshold.
• Business operators who have ceased all operational activities.
• Workers who no longer have a fixed source of income.
• Retirees who only receive income from pension funds without any additional sources.
• Additionally, Article 180 of PMK 81/2025 states that certain income taxpayers may be exempted from the obligation to submit tax returns.

However, the details of these criteria will be established directly by the Director General of Taxes in more specific regulations.

3. Procedure for Submitting Non-Effective Status (NE)

For taxpayers who meet the criteria for Non-Effective status and wish to apply for this status, the Directorate General of Taxes provides a procedure that can be carried out through various administrative channels. For individual taxpayers, applications can be submitted through:

• The Kring Pajak service phone at 1500200.
• Live chat on the official website pajak.go.id.
• Written submissions directly to the Tax Service Office (KPP) where the taxpayer is registered.

Meanwhile, for corporate taxpayers, Non-Effective applications can only be submitted through written requests sent to the relevant KPP. After receiving the application, the Directorate General of Taxes will verify the eligibility for NE status before it is ultimately approved and established.

4. The Importance of Understanding SPT Reporting

Knowing who is required and who is not required to report the Annual SPT is key to managing tax obligations carefully. Taxpayers, both individuals and businesses, must meet certain criteria to report, while those classified as Non-Effective can receive relief from this obligation.

In an effort to create a fairer and more efficient tax system, the government has established regulations that provide flexibility for taxpayers experiencing changes in economic conditions. For those wishing to apply for Non-Effective status, following the established procedures is an important step to remain within the applicable regulations.

5. People Also Ask

Who is required to report the Annual Tax Return?

Every taxpayer who has met the subjective and objective tax requirements, whether individual or business entity, is required to report the Annual Tax Return.

Does a taxpayer with income below the Non-Taxable Income (PTKP) need to report the Annual Tax Return?

A taxpayer with income below PTKP does not need to report the Annual Tax Return.

What is the status of a Non-Effective Taxpayer (NE)?

The NE status is given to taxpayers who no longer meet the subjective and/or objective requirements, thus they are not required to report the Annual Tax Return and are not subject to penalties even if they do not submit their tax reports.

How to apply for Non-Effective Taxpayer status?

Taxpayers can submit a written application to the Tax Service Office (KPP) where they are registered to be designated as a Non-Effective Taxpayer.

Are retirees required to report the Annual Tax Return?

Retirees who do not receive additional income other than pension funds can apply for a change of status to Non-Taxpayer.

(kpl/rmt)