Indonesia launches tax investigation into Google
The Indonesian government will launch an investigation into Google, accusing it of owing unpaid taxes from its advertising revenue to the Indonesian state. Much of the debate centers around the recently-adopted Indonesian legislation that requires tech companies to set up a permanent establishment in the country and pay taxes. This requirement is still in the process of being established, and Communications and Informations Minister Rudiantara previously promised tech companies to provide enough time to comply with the new rules. Google denies Indonesia’s allegations, declaring it has paid all taxes since opening its Jakarta offices in 2011.