Page 10 - Newsletter (Recent Regulations on Tax Holiday Incentives and Super Tax Deduction for R&D Activities)

DDTC Newsletter Vol.04 | No.08 I October 2020 Page 10 of 13

Recent Regulations on Tax Holiday Incentives and
Super Tax Deduction for R&D Activities

stage is determined based on the results of the business The Notification of Technical Testing Results is to be
planning assessment of each PJAP or the applicant. As submitted no later than 15 working days as of the date
such, the ICT Director does not need to recapitulate of receipt of notification of completion of application
the assessment in order to list the best score order. development/repair of applications, by PJAP or the
The written notification is to be submitted no later applicant.
than ten working days as of the date of notification
of the test result on the completion of the application
documents.
Electronic Payment and Remittance
of Customs Excise
In the technical pre-qualification procedures, the
technical pre-qualification is carried out if necessary
as per the ICT Director’s considerations in a maximum The Minister of Finance updates the policy on
period of twenty working days as of the date the electronic payment and remittance of excise. The
network and infrastructure configuration documents changes in this policy are outlined in the Minister of
are submitted. In the review procedures of the Finance Regulation No. 148/PMK.04/2020 concerning
application development plan, PJAP or the applicant the Amendment to the Minister of Finance Regulation
must sign a statement of a confidentiality obligation. No. 40/PMK.04/2016 concerning the Electronic
Payment and/or Remittance of State Revenues in
The application development plan is to be submitted
the Framework of Customs and Excise (MoF Reg.
in a maximum of 10 working days as of the date the
148/2020).
application development instructions are submitted.
Conversely, the notification of the review of the This regulation updates and adds several provisions
application development plan is to be submitted that did not previously exist in MoF Reg. 40/2016.
no later than 15 working days as of the date the At least six articles have been amended under this
application development plan is received by PJAP or regulation.
the applicant.
First, changes in Article 1. These changes include
The revised application development plan is to be deletion of the definitions from the Customs Law,
submitted no later than 5 working days as of the receipt
changes to several definitions, and additional
of the review results of the application development
definitions. The changes in the definitions include,
plan by PJAP or the applicant. The notification letter
among others, the definition of state revenues,
of the review of the revised application development
mandatory payers, payment, remittance, and receipt
plan is to be submitted no later than 7 working days as
of state revenues, customs and excise officials.
of the date of receipt of the application development
Further, this regulation adds several definitions
plan that has been revised by PJAP or the applicant.
included in Article 1 regarding withholders,
In the technical testing procedures, the materials perception institutions, and transaction numbers
pertaining to the period also differ in the selection of other perception institutions (Nomor Transaksi
process. The application development and written Lembaga Persepsi Lainnya/NTL).
notification of the application development should
not exceed 4 months as of the date the Application Second, amendments to Article 2 in paragraph (1),
Development Plan is approved. paragraph (2), and paragraph (3). In the previous
regulation, the types of state revenues were divided
The Notification of Technical Testing Results is to be into three, i.e. state revenues on imports, state
submitted no later than 15 working days as of the date revenues on exports, and state revenues on goods
of receipt of notification of completion of application
subject to excise. The latest regulation amends the
development/repair by PJAP or the applicant.
classification of the types of state revenues into two
Furthermore, the repair of application and the
groups as follows.
notification of completion of application development/
repair are to be submitted no later than 20 working (i) State revenues on imports, exports, and/or on
days as of the date of notification of technical testing goods subject to excise; and
results from the ICT Director.
(ii) Other state revenues related to activities in
the context of imports, exports, and/or goods
subject to excise.