Setting up a PT PMA in Indonesia can be your gateway to the thriving Southeast Asian market, especially in regions like Lombok where the government is actively pushing tourism, digital economy, and sustainable development. However, many foreign business owners underestimate the ongoing compliance requirements associated with running a PT PMA. Falling out of compliance can result in fines, frozen bank accounts, revoked licenses, or even blacklisting by the immigration department.

Here are 7 critical compliance pitfalls to avoid in 2025:

1. OSS Licensing Gaps

The Online Single Submission (OSS) system is now mandatory for all business licenses, but it's not a one-time task. Each business activity must align with a KBLI code, and your business location must match zoning requirements (RDTR). Failure to keep this data updated can invalidate your NIB (Business Registration Number).

2. Incomplete LKPM Reporting

PT PMAs are obligated to submit Investment Activity Reports (LKPM) every quarter. Many founders ignore this, especially if they haven't begun operations. BKPM treats non-reporting as non-compliance, even if you’re not yet profitable.

3. Minimum Capital Investment Proof

Though you may receive your PT PMA license quickly, you must eventually show proof of the IDR 10 billion minimum investment, especially during audits or immigration reviews. Transfers must be documented and properly recorded in audited financial statements.

4. Taxpayer Registration and Monthly Filing

Having a NPWP (Taxpayer Number) isn't enough. You must file monthly and annual tax returns, including NIL reports if you haven't earned income yet. Many new PT PMAs skip this, resulting in costly penalties.

5. Not Updating Business Domicile Changes

Moving your office to a new address without updating OSS and local licensing can void your NIB or cause issues with BPJS (social security) registration. This is especially critical in regions like Lombok where regional regulations may differ.

6. KITAS Sponsorship Irregularities

Improper documentation for sponsored foreign staff can trigger investigations by immigration. If your employee's role does not match your company's registered KBLI activities, the visa can be denied or revoked.

7. Ignoring BPJS Employment and Health Coverage

Even if you only have a small team, registering for BPJS Kesehatan and BPJS Ketenagakerjaan is mandatory. Failing to do so can bar your company from participating in government-related tenders or financing.

Why It Matters in 2025

As Indonesia tightens enforcement post-pandemic and digitizes more of its governance, non-compliance will be harder to hide. Automation in tax and immigration systems means that inconsistencies are flagged faster. Avoiding these pitfalls not only keeps you legal but strengthens your credibility with banks, partners, and regulators.

What You Can Do

Work with a local legal consultant or corporate secretarial service that performs regular audits, especially during the first 12–24 months. Regular OSS and BKPM health checks can protect you from unintentional violations.