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Kinship Relationship Disclosures Now Required for Tax Consultant License Applications

October 1, 2026

Minister of Finance Regulation No. 55 of 2026 on Tax Consultants and Other Parties Acting as Taxpayer Proxies, which took effect on August 24, 2026, adds new conditions to the tax consultant license application, namely the obligation to disclose kinship relationships with employees of any tax policy-making units of the Director General of Taxes (“DGT”) (Article 5, paragraph 2).

The Reason for Requiring the Kinship Relationship Disclosure

The regulation aims to increase transparency and prevent conflicts of interest between tax consultants, the tax authorities, and clients as well as to ensure the integrity and professionalism of prospective tax consultants.

What Types of Kinship Relationships Should be Declared?

The following relationships must be disclosed:

• Blood relative: Parents (biological father/mother) and biological children.
• Relatives by marriage: ParentsIn-law and sons-in-law.

Up to the first degree with the employees of the unit that organizes the formulation and implementation of policies in the field of taxation, namely the DGT.

What is the reporting procedure?

When applying for a tax consultant license, the applicant sign an affidavit stating that he or she does not have a blood or marital relationship up to the first degree with any employee of any DGT tax policy-making units.

Applicants that do have kinship relationships must submit a statement about such relatives working for the DGT with at least the following information:

• Name of the employee
• Employee’s identification number
• Employee’s position

This provision impacts all prospective tax consultants, especially those who have family relationships with employees of the DGT. It is not an absolute prohibition on having such kinship relationship, rather it is an administrative to disclose this information.

It is important to note that if any information in the license application, including the statement of kinship, is later found to be incorrect it could lead to administrative sanctions in the form of revocation of the tax consultant license (Article 6). Prospective tax consultants need to ensure the accuracy and completeness of their kinship disclosures from the initial license application stage for a smooth and efficient licensing process and to avoid any risk of sanctions in the future.

By Olina Rizki Arizal – Senior Partner