How to Close a PT PMA in Bali: Complete Guide and Latest Requirements

Closing a company does not necessarily mean the business has failed. In many cases, foreign investors choose to wind up their business due to a change in strategic direction, corporate restructuring, or because a specific investment project has reached its completion. If you own a Foreign Direct Investment Company (PT PMA) in Bali and wish to officially cease corporate operations, it is crucial to understand how to close a PT PMA in accordance with Indonesian corporate law.

Here is how to close a PT PMA in Bali legally and safely.

Why Must an Inactive PT PMA Be Officially Closed?

Under Indonesian law, a PT PMA that is no longer operating is still considered an active legal entity. This means the company continues to have administrative obligations even if it no longer conducts business activities.

These obligations include:

• Filing monthly and annual tax reports even if the company has no transactions.
• Submitting periodic Investment Activity Reports (LKPM) to the Ministry of Investment/BKPM.
• If the company sponsors an Investor KITAS, immigration matters may arise if the company is not closed properly, including the possible need for an Exit Permit Only (EPO) process.

For this reason, inactive companies should be officially dissolved to avoid future administrative penalties and legal issues.

Common Reasons for Closing a PT PMA in Bali

There are several common reasons why foreign investors decide to close their PT PMA in Bali, including:

• The investment project has been completed.
• The company is no longer profitable.
• Investors wish to move their investments to another country or industry.
• Changes in corporate business strategy.
• Mutual agreement among shareholders.
• The company's operational period has ended according to its Articles of Association.
• The company undergoes a merger or acquisition.

Regardless of the reason, the dissolution process must follow the applicable legal procedures to avoid future complications.

Requirements for Closing a PT PMA in Bali

Before starting the dissolution process, several documents typically need to be prepared, including:

• Company deed of establishment.
• Amendments to the Articles of Association (if any).
• Identification documents of shareholders.
• Company Tax Identification Number (NPWP).
• Business Identification Number (NIB).
• Latest financial statements.
• Company tax documents.
• Records of company assets and liabilities.

Read More: 6 PT PMA Legal Mistakes Foreign Investors Must Avoid in Bali 2026

Steps on How to Close a PT PMA in Bali

1. Hold a General Meeting of Shareholders (GMS/RUPS)

The first step in how to close a PT PMA is holding a General Meeting of Shareholders (Rapat Umum Pemegang Saham/RUPS) to approve the company's dissolution and appoint a liquidator.

The liquidator will be responsible for managing the liquidation process, including settling the company's assets and liabilities. The decision must then be formalized through a Deed of Dissolution prepared by a notary.

2. Announce the Company's Dissolution

Once the dissolution decision has been made, the company is required to announce the liquidation process publicly through media channels stipulated by Indonesian regulations.

This announcement provides creditors and other parties with the opportunity to submit any outstanding claims before the company is officially dissolved.

3. Settle All Company Obligations

The next step in how to close a PT PMA in Bali is completing all company obligations, including:

• Paying outstanding debts to vendors or creditors.
• Settling employee rights and obligations in accordance with labor regulations.
• Paying any outstanding taxes.
• Completing ongoing contractual obligations.

4. Close the NPWP and Fulfill Tax Obligations

The company must apply for the closure of its Tax Identification Number (NPWP) after all tax obligations have been fulfilled.

In some cases, the tax authority may conduct an audit before approving the cancellation of the company's NPWP.

5. Revoke the NIB and OSS Licenses

Once all company obligations have been settled, the next step is to revoke the Business Identification Number (NIB) and business licenses through the OSS system.

This step is essential to ensure that the company is no longer recorded as an active business entity in the government system.

6. Apply for the Removal of Legal Entity Status

After the liquidation process is completed, the liquidator may apply for the removal of the company's legal entity status through the relevant government legal administration system.

Once approved, the PT PMA is officially dissolved and no longer has any obligations as a business entity.

Read More: Most Popular PT PMA Business Types for Foreign Investors in Bali

How Long Does It Take to Close a PT PMA in Bali?

The duration of the PT PMA closure process depends on the company's condition, the number of obligations that must be settled, and any tax audits conducted by the authorities.

Generally, the process takes approximately six to twelve months until the company is officially closed.

Need Assistance with Closing a PT PMA?

The process of closing a PT PMA involves various legal, tax, and administrative matters that can be quite complex. As a result, many foreign investors choose to work with professional consultants to ensure the process runs efficiently and minimizes administrative risks.

Experienced consultants can assist with document preparation, coordination with government institutions, and ensuring that every stage of the process complies with Indonesian regulations.

Pandara Prima provides professional assistance for PT PMA establishment, amendment, and closure services in Bali, guiding clients from the beginning of the process until completion. Contact Pandara Prima today to learn more about how to close a PT PMA in Bali.