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Indonesia latest country to come after Google for ‘billions of dollars’ of back-taxes

With Google already facing demands for alleged underpaid tax in countries as far afield as the UK and Russia, Indonesia is the latest country to join the party. The WSJ reports that the country’s finance ministry aims to recoup ‘billions of dollars’ from Google, Twitter & Yahoo.

‘These companies have been getting many businesses here, especially from advertising, and we are not sure that they’ve been paying the taxes correctly in accordance with the amount of businesses they’ve earned from Indonesia,’ said Finance Minister Bambang Brodjonegoro, pictured above.

Brodjonegoro said that he was ‘not sure’ that the companies had paid the correct amount of tax for the full amount of advertising revenue received from Indonesian businesses. Google issued its usual statement that ‘we continue to pay all applicable local taxes.’

Indonesia’s push for greater tax revenue from tech giants may be motivated by an ambitious tax collection target of $117B to fund infrastructure projects.

Photo: Bloomberg

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