Insights
Carbon Tax Confirmed to Take Effect From 1 July 2022
The government will postpone the implementation of the carbon tax. Previously, the government planned to implement a carbon tax starting on 1 April 2022. However, the government postpones the plan to implement a carbon tax to July 2022. The Head of the Fiscal Policy...
VAT of 11% Starting to Apply Officially
The VAT provisions in the Law on Harmonization of Tax Regulations (“HPP Law”) officially took effect on 1st April 2022, including the increase of the VAT rate to 11%. The provisions are contained in Article 7 of Law No. 7 of 2021. Director of Counselling,...
Interest Rates as Basis for Calculation of Administrative Sanctions in the Form of Interest and Granting of Interest Compensation for March Period
Minister of Finance (“MoF”) issued regulation No. 11/KM.10/2022. This decision stipulates monthly interest rates as basis for calculation of administrative sanctions in the form of interest and granting of interest compensation that shall be...
New MoF Regulation Regarding Procedure for Submission of Application and Determination of Origin of Goods to be Imported Before Delivery of Customs Declaration
The MoF issued regulation No. 7/PMK.04/2022 regarding customs issue. The Director General of Customs and Excise (Director General) may determine the origin of goods on goods to be imported in Preference-Scheme or Non-Preference Scheme before Customs...
Additional Guidelines on CFC Rules
On 28 December 2021, the Director General of Tax (DGT) issued SE-551 as an internal guideline to implement Minister of Finance (MoF) Regulations 2 on Controlled Foreign Companies (CFC). SE-55 provides comprehensive guidelines including various examples. We...