The pending protocol to the 2002 income tax treaty between Indonesia and the Netherlands will enter into force on 1 August 2017. The protocol, signed 30 July 2015, is the first to amend the treaty.
Dividends
Paragraph 2 of Article 10 (Dividends) is replaced. The new provisions provide for a 5% withholding tax on dividends if the beneficial owner is a company directly holding at least 25% of the paying company's capital; 10% if the beneficial owner is a recognized pension fund; otherwise 15…