Page 4 - Newsletter (Taxation Provisions on Imports of Consigned Goods & the Simplification of Customs Registration)

DDTC Newsletter Vol.03 | No.02 I January 2020 Page 4 of 9

Taxation Provisions on Imports of Consigned Goods &
the Simplification of Customs Registration

Table 2 - The Comparison of the Maximum Thresholds of Goods under the aforementioned HS codes will be subject
Excisable Consigned Goods Entitled to Excise Exemptions to the general provisions and statutory tariffs of import
under MoF Reg.199/2019 and MoF Reg. 112/2018 duties and taxes on imports. In addition, to simplify
the payment process, this regulation allows the use of
MoF Reg. MoF Reg. a combination of the Import Duty, Excise, and/or Tax
Types of Excisable 199/2019 112/2018 Payment Stipulation (Surat Penetapan Pembayaran Bea
Goods Maximum Maximum Masuk, Cukai, dan/atau Pajak/SPPBMCP) as the basic
Threshold Threshold
document for payment.
Cigarettes 40 sticks 40 sticks
Through MoF Reg. 199/2019, the Ministry of Finance has
Cigars 5 sticks 10 sticks also revised several provisions in other MoF Regulations.
Under this regulation, the outward manifest of consigned
Sliced Tobacco 40 gram 40 gram
goods by the appointed postal service organizers to be
Other Tobacco Products 50 grams/ 40 grams/40 re-exported can only be performed using a consignment
50 mililiters or mililiters, there note. This regulation adds three data elements to the
depending on the were no detailed
shape provisions consignment note, namely the exchange rate, invoice
number and date, as well as the type and identity number
• Sticks 20 gram - of the recipient. On the other hand, under the previous
regulation, namely the Minister of Finance of the Republic
• Capsules 5 capsules -
of Indonesia Regulation Number 182/PMK.04/2016
• Liquid 30 mililiter - concerning Provisions on the Imports of Consignment
Goods (MoF Reg. No.182/2016), this outward manifest
• Catridges 4 cartridges -
process may use export declarations.
Beverages Containing 350 mililiters 350 mililiters
Ethyl Alcohol
The new regulation sets forth four new aspects. First,
adding rules related to penalties for parties violating the
Source: MoF Reg. 199/2019 and MoF Reg. 112/2018
provisions concerning the exemptions of import duties,
excise, and/or taxes on imports. Second, the provisions
are given for all recipient of goods and per consignment.
concerning the DGCE’s partnership with other parties in
The excise exemptions stipulated in MoF Reg. 199/2019
the context of acceleration and improvement of customs
is more detailed compared to the previous regulations. In
services and supervision of consigned goods. The DGCE’s
summary, the excise exemptions stipulated in MoF Reg.
partners include the marketplaces of which the goods
199/2019 along with the comparison with the previous
are imported, sellers and/or suppliers, as well as other
regulation are shown in Table 2.
parties related to the imports of consigned goods.
Further, if the number of excisable consigned goods
Third, the provisions regarding the re-stipulation of
exceeds the threshold, the excess shall be destroyed
tariffs and customs values. This regulation stipulates
by the Customs and Excise Officials in the presence of
that the Director General or Customs and Excise Officials
the relevant postal service organizer. Additionally, in
may re-establish tariffs and customs values on the
the event of any changes in the type and/or number of
determination of SPPBMCP. This determination is based
excisable goods entitled to exemptions, on behalf of the
on statutory regulations concerning re-examination,
Minister, the Director General of Customs and Excise
customs audits and/or other tariff and customs value re-
shall issue a Minister of Finance Decree concerning the
stipulation mechanisms. Fourth, the provisions regarding
determination of imports of excisable consigned goods
the outward manifest of imported goods from the Free
that are subject to excise exemptions.
Port and Free Trade Zone or other economic zones to
other places in the customs area.
This regulation has also revised the regulations
concerning customs tariffs and values. At present,
consigned goods that are not exempt from import duties Customs Duty Facilities for Imports
of Goods for the Purpose of Scientific
with a customs value exceeding USD3 up to USD1,500 are
subject to import duty of 7.5% and the customs value is
determined based on the overall value. The tariff of 7.5% Research and Development
provision does not apply to imports of consigned goods in
The government exempts import duties and excise
the form of books and other goods (HS code 4901, 4902,
duties on the imports of goods for scientific research
4903, 4904), bags, luggage, and the like (HS Code 4202),
and development. This policy is aimed at improving
textile products, garments, and the like (HS Code 61, 62,
the supervision and services through the simplification
63), and footwear, shoes, and the like (HS Code 64).
of customs procedures. These exemptions are granted