QRTC in GloBE Rules Shifts International Tax Competition

JAKARTA – Qualified refundable tax credit (QRTC) receives special treatment under the global minimum tax rules (GloBE). The measure is expected to reshape tax competition between jurisdictions. Tax expert Yusuf Wangko Ngantung of DDTC Consulting explained the impact at an International Fiscal Association seminar on 3 December 2025.

QRTC differs from typical tax incentives because it is added to the GloBE profit rather than reducing covered taxes when computing the effective tax rate. The credit must be linked to specific activities or expenditures, can exceed the tax owed, and is refundable in cash or cash equivalents within four years. Singapore already offers a comparable refundable investment credit (RIC) for manufacturing, green‑economy and service sectors.

Thailand and Vietnam are reportedly preparing QRTC‑compatible credits, while Indonesia has not yet adopted a similar regime. Yusuf called on the Indonesian government to provide a transition framework for firms that have received tax holidays, which are not treated as QRTC. The evolution could influence tax planning for multinational companies in the region.