Can an Indonesian company charge VAT to an Australian company? If yes, why?

Q: We have an Indonesian creditor that is charging us 10% VAT on some invoices and not others. This is for consultancy fees and other services relating to this. They cannot explain why, they are just saying it is law, but i cannot find it anywhere on the net in English.

A: No VAT or GST is a local tax not an internationl tax.

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