Recently, the Government of Indonesia issued Government Regulation No. 58 of 2023 (hereinafter referred to as "Regulation No. 58/2023") to update the relevant provisions of Article 21 of the Income Tax Law (PPh21) withholding and simplify its deduction procedures. The regulation comes into effect on January 1, 2024. The new law sets out the categories of PPh21 and the categories of tax beholden to PPh21, which include individuals who receive income from work, services, or activities, including civil servants, state officials, and members of the Indonesian National Army and the Indonesian National Police.

The summary of effective daily and monthly PPh-21 rates regulated in Regulation 58/2023 is divided into the following two parts:
1. Effective Monthly Rate (three categories based on marital status and number of dependents);
2. Effective Daily Rate