Payment of Tax and Labor Wages Debt When the Company Experiences Bankruptcy in Indonesia

Abstract

The Bankruptcy Decision is both instantaneous and constitutive that it excludes circumstances and creates a new legal state. In the judge's verdict on bankruptcy there are three essentials: the statement that the debtor is bankrupt, the appointment of a Designated Judge of the Judge of the Court and the Curator. Substantively UUK and PKPU still have some weaknesses, as well as in practice. In this study the authors focus on the problem of "Which should take precedence between tax debt with the wages of workers in the case of companies experiencing bankruptcy in Indonesia?". How is the scale of payments prioritized to the separatist, preferred and concurrent creditor in practice is still often found the existence of legal uncertainty.

Keywords:debt payments, taxes, workers' wages, bankruptcy, creditors.

DOI: 10.7176/JLPG/92-22

Publication date: December 31^st 2019