The LKPM Report is mandatory for foreign-owned limited liability companies, PT to submit reports detailing their investment activities. It is according to Indonesian Law No. 25, 2007.
The Investment Activity Report (LKPM BKPM) is the standard report on the achievements and constraints faced by investors in a determined company. The LKPM serves as a tool for the Indonesian Investment Coordinating Board (BKPM) for a kind of analyze and find solutions to the challenges faced by investors in Indonesia.
The current BKPM regulation (BKPM Regulation 7/2018) requires all business actors to submit a quarterly or per half year LKPM. It is for each line of business or project location for which the investment is more than Rp500 million. The LKPM reporting obligation is not only for foreign investment companies. It also for every line of business or project locations for which the investment is Rp500 million or less. The business activity reporting is based on the relevant technical regulations.
The LKPM must be submitted to BKPM. May you need any assistance, please contact us, Indo-Ned Consultancy to guide you for preparing the report, the relevant provincial-level investment board, and the relevant regency/municipality-level investment board.
Form of LKPM Report
There are two forms of LKPM. One form is for lines of business that have not yet been commercially operated. And the other form is for lines of business that have been commercially operated. Both forms are attached in the current BKPM regulation.
The LKPM is made for each line of business and each project location, and must be submitted with the following deadline:
1st quarter: no later than the 10th of April of the relevant year
2nd quarter: no later than the 10th of July of the relevant year
3rd quarter: no later than the 10th of October of the relevant year
4th quarter: no later than the 10th of January of the following year
Business actors that are ready to operate commercially are required to submit a statement letter confirming the readiness, the form of which is also regulated in the current BKPM regulation.
May you need more information about The LKPM Report or any other legal advice for doing business or living in Indonesia, please do contact us. We are available on number: +316303638263, +6282144913470, + 6282161881767. You can also find us on live chat on our website www.indo-ned.com.