This article investigates language assessment literacy (LAL), among tertiary EFL teachers in Indonesia, a crucial area that remains under-explored within the context of EFL education. LAL is conceived as knowledge, skills, and competencies required in designing, administering, and interpreting language assessments, contributing to high quality learning and teaching practices. Despite their importance, there has been little knowledge of Indonesian EFL teachers with regard to LAL levels, particularly in higher education. This study bridges the gap and investigates teachers' knowledge of the fundamental assessment principles (validity, reliability and practicality), their ability to put assessment practices into a classroom, the challenges they face in interpreting assessment data to inform instruction, and experience in assessing language skills and components. A mixed-methods approach was adopted, using surveys and interviews with 297 EFL teachers at various higher education institutions (102) in Indonesia. It points out that EFL teachers in Indonesia face common obstacles to LAL training, especially in the practical application of assessment knowledge. This finding underlines the need for well-rounded professional development programs to improve teachers' LAL, focusing on some aspects of language assessment practice. The study concludes with some recommendations on how teacher education programs and assessment practices can be improved in the EFL context in Indonesia. A key recommendation is that institutions and policymakers should integrate comprehensive LAL programs into teacher education curricula for both pre-service and in-service training.