Annual Report (AR)
The Annual Report (AR) is a crucial document that companies in Indonesia are required to prepare annually, subsequent to their Annual General Meeting (AGM). With certain exceptions, this report must be submitted to the Financial Services Authority of Indonesia (Otoritas Jasa Keuangan, OJK), typically within four months following the end of the company’s financial year.
The responsibility for the preparation and submission of the AR primarily lies with the company’s secretary and accountant. The AR covers a wide range of aspects, including the preparation of financial statements, their audit, holding the AGM, calculating the estimated taxable income, filing the annual report with OJK, and the annual tax return with the Directorate General of Taxes (DGT).
The submission of an AR in Indonesia has been modernized to a digital format through the OJK’s online system. Depending on the type of company, this submission may also require an eXtensible Business Reporting Language (XBRL) file.
For an Exempt Private Company (EPC) that is solvent, there is no necessity to attach its financial statements to the AR. However, if an EPC becomes insolvent, it is mandatory to submit a concise XBRL financial report.