The Directorate General of Taxes (DJP) will use a new method in calculating the income tax rate article 21 or PPh 21. This method is the average effective rate or TER which will begin to be implemented in January 2024.
This change in the method for calculating the PPh 21 rate is not only for employees or employees with a fixed monthly salary, but is also intended for payment recipients who are not employees or freelancers.
Individual taxpayers who carry out business activities or independent work whose gross turnover in 1 year is less than IDR 4.8 billion are allowed by the DJP to calculate net income using NPPN.
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