Closure of NPWP Tax Number
NPWP (Nomor Pokok Wajib Pajak) is an individual or corporate tax identification number assigned to a taxpayer in Indonesia. Upon termination of business activities, change of tax residency, or leaving the country, it is necessary to officially arrange for its closure.
An open NPWP can lead to fines for unsubmitted reports and creation of fictitious tax debts.
The closure of NPWP is a formalized procedure that requires submitting an application, reviewing the tax history, and in certain cases, providing additional documents.
Cost
The service fee is calculated individually depending on:
type of NPWP (personal / corporate)
region of registration
status of tax reporting (whether all declarations have been submitted, are there any liabilities)
The final cost is determined after a preliminary assessment.
Timeframes
Timeframes depend on the tax office, volume of preliminary preparation, and availability of all necessary documents.
On average, the procedure takes from 6 to 12 months.
Service Requirements
To start the NPWP closure procedure, you will need:
copy of NPWP
passport (for foreigners) or KTP (for Indonesian citizens)
data on the last place of work or business
tax return submission reports (if applicable)
power of attorney (in case of submission through a representative)
May also be required:
certificate of no tax liabilities
reporting for the current year (if not submitted earlier)
documents confirming completion of activities (termination of contract, closure of company, etc.)
Additional Information
Closure of NPWP is not automatically processed upon departure or completion of work. Even in the absence of income, the owner of NPWP is obliged to continue submitting reports while the number remains active.
It is recommended to initiate the closure procedure in advance, especially if planning to change tax residency or apply for visas in other countries where confirmation of no tax obligations in Indonesia may be required.
