ProdukHukum Perdagangan

(1)

VARIANTS AND TYPES OF MOTOR VEHICLES SUBJECTED TO

SALES TAX ON LUXURY GOODS

(Decree of the Minister of Finance No. 348/KMK.04/1999 dated June 24, 1999)

THE MINISTER OF FINANCE,

Considering :

a.

that with the enforcement of Government Regulation No. 59/1999 concerning the amendment to

Government Regulation No. 50/1994 on the implementation of Law No. 8/1983 on Value Added

Tax on goods and services and Sales Tax on luxury goods as already amended by Law No. 11/1994,

which has already been emended the latest by Government Regulation No. 14/1998, in the

framework of boosting the automotive industry and in order to enhance the utilization of potential

of the automotive industry, it is necessary to adjust the provisions on the imposition of Sales Tax on

taxable goods categorized as luxury goods on the form of motor vehicles;

b.

that in relation thereto, it is deemed necessary to restipulate the provisions on variants and types of

motor vehicles subjected to Sales Tax on luxury goods by issuing a decree of the Minister of

Finance.

In view of :

1.

Law No. 8/1983 on Value Added Tax on goods and services and Sales Tax on luxury goods

(Statute Book of 1983 No. 51, Supplement to Statute Book No. 3264) as already amended by Law

No. 11/1994 (Statute Book of 1994 No. 61, Supplement to Statute Book No. 3568);

2.

Government Regulation No. 50/1994 on the implementation of Law No. 8/1983 concerning Value

Added Tax on goods and services and Sales Tax on luxury goods as already amended by Law No.

11/1994, as already amended the latest by Government Regulation No. 59/1999;

3.

Presidential Decree No. 122/M/1998;

D E C I D E S :

To stipulate :

THE DECREE OF THE MINISTER OF FINANCE ON VARIANTS AND TYPES OF MOTOR

VEHICLES SUBJECTED TO SALES TAX ON LUXURY GOODS

Article 1

(2)

Article 2

(1)

The impair and the delivery of motor vehicles for the transport of more than 10 (ten) persons

including the driver, with spark-ignition internal combustion reciprocating piston engines or

compression ignition internal combustion piston engines (diesel/semi diesel) of all cylinder

capacities and motor vehicles for the transport of less than 10 (ten) persons including the driver as

well as vans of the single propeller axle system (4x2) with spark-ignition internal combustion

reciprocating piston engines or compression ignition internal combustion piston engines

(diesel-semi diesel) of a cylinder capacity not exceeding 1,500 CC, inside customs areas

shall be

subjected to Sales Tax on Luxury Goods (PPnBM) with the tariff of 10% (ten percent).

(2)

The import and the delivery of motor vehicles for the transport of less than 10 (ten) persons

including the driver as well as vans of the single propeller axle system (4x2) with spark-ignition

internal combustion reciprocating piston engines of a cylinder capacity exceeding 1,500CC but not

exceeding 3,000 CC or compression ignition internal combustion piston engines (diesel/semi

diesel) of a cylinder capacity exceeding 1,500 CC but not exceeding 2,500 CC inside customs areas

shall be subjected to PPnBM with the tariff of 15% (fifteen percent).

(3)

The import and the delivery of sedans/station wagons for the transport of less than 10 (ten) persons

including the driver of cylinder capacity not exceeding 1,500 CC, motor vehicles for the transport

of less than 10 (ten) persons as well as vans of the single propeller axle system (4x2) with

spark-ignition internal combustion reciprocating piston engines of a cylinder capacity exceeding 3,000

CC or compression ignition internal combustion piston engines (diesel/semi diesel) of cylinder

capacity exceeding 2,500 CC as well as motor vehicles for the transport of less than 10 (ten)

persons including the driver as well as vans of the double propeller axle system (4x4) with

spark-ignition internal combustion reciprocating piston engines or compression spark-ignition internal

combustion piston engines (diesel/semi diesel) of a cylinder capacity not exceeding 1,500 CC,

inside customs areas,

shall be subjected to PPnBM with the tariff of 30% (thirty percent).

(4)

The import and the delivery of sedans/station wagons and motor vehicles for the transport of less

than 10 (ten) persons including the driver as well as vans of the double propeller axle system (4x4)

with spark-ignition internal combustion reciprocating piston engines of a cylinder capacity

exceeding 1,500 CC but not exceeding 3,000 CC or compression ignition internal combustion

piston engines (diesel/semi diesel) of a cylinder capacity exceeding 1,500 CC but not exceeding

2,500 CC, inside customs areas

shall be subjected to PPnBM with the tariff of 40% (forty

percent).

(3)

diesel) of a cylinder capacity exceeding 2,500 CC, special purpose vehicles manufactured for golf

vehicles, racing cars and the kind, trailers and semi trailers of the caravan type for housing or

camping, inside customs areas

shall be subjected to PPnBM with the tariff of 50% (fifty

percent).

Article 3

The import of all types of motor vehicles in compeletely knocked down condition which have the main

characteristics of their motor vehicles by automotive assembly manufacturers, shall be exempted from

PPnBM.

Article 4

(1)

In the case of the delivery being done inside customs areas, the basis for the imposition of tax to

calculate PPnBM as meant in Articles 1 and 2 shall be the selling price which is asked or should be

asked for

(2)

In the case of import, the basis for the imposition of tax to calculate PPnBM as meant in Articles 1

and 2 shall be the import value used as the basis for the calculation of the amount of import duty,

plus other import duties and levies which are imposed on the basis of the provisions of customs

laws in force

(3)

In the case of the special relationships between manufacturers or importers and dealers/agents or

distributors which cause the price from manufacturers or importers to be lower than the selling price

which should be, the basis for the imposition of tax to calculate PPnBM owed shall be set at the

same level as the selling price from dealers/agents/distributors

(4)

The seloling price shall be considered to be affected by the special relationships as meant in

paragraph (3), in the case of the difference between the selling price from automotive assemble

manufacturers to dealers/agents or distributors surpassing a certain percentage stipulated by the

Director General of Taxation.

Article 5

Motor vehicles for the transport of people and vans modified from chassis vehicles or vehicles for the

transport of goods shall be subjected to PPnBM in accordance with the provisions as meant in Article

2.

Article 6

(4)

a.

the import and/or the delivery of all types of motor vehicles inside customs areas for Indonesian

Military/Police official duties and state protocol, as fra the funds are derived from State

Budget/Regional Administration Budgets (APBN/APBD);

b.

the import and/or the delivery of motor vehicles of the single propeller axle system (4x2), the

double propeller axle system (4x4), buses, sedans/station wagons used for ambulances, police

vans, fire engines, hearses and public transport vehicles inside customs areas;

c.

the import and/or the delivery of motor vehicles used for motor vehicles for the transport of

goods inside customs areas.

(2)

The Director General of Taxation can issue certificates of the exemption from PPnBM to

applications for the purchase of ambulances, police vans, fire engines, hearses, motor vehicles for

official duties of the Indonesian Military/Police and for state protocol.

Article 7

Details and types of the motor vehicles as meant in Article 2 shall be as stipulated in Attachment to this

decree.

Article 8

The Director General of Taxation shall further stipulate provisions on the implementation of this

decree.

Article 9

With the enforcement of this decree, the Decree of the Minister of Finance No. 272/KMK.04/1995

dated June 28, 1997 on variants and types of motor vehicles exempted from PPnBM shall be declared

null and void.

Article 10

This decree shall come into force as from July 1, 1999.

For public cognizance, this decree shall be published by placing it in State Gazette of the Republic of

Indonesia.

Stipulated in Jakarta

On June 24, 1999

THE MINISTER OF FINANCE

sgd

(5)

ATTACHMENT :

LIST OF MOTOR VEHICLES WHOSE DELIVERY IS SUBJECTED TO SALES TAX ON

LUXURY GOODS

NO. DESCRIPTION OF GOODS EXCEPT HS NUMBERS

I. Subjected to PPnBM as high as 10% (ten

percent)

a.

a.1.

Group of motor vehicles for the transport of 10

(ten) or more persons, including the driver

Motor vehicles for the transport of 10 (ten) or

more persons, including the driver, with

spark-ignition internal combustion reciprocating piston

engines or compression ignition internal

combustion piston engines (diesel/semi diesel)

of all cylinder capacities/total weights

1. Ambulances, hearses, fire engines, police vans and

publis transport vehicles or vehicles for the

transport of goods

2. Motor vehicles for the Indonesian Military/Police

official duties

3. Motor vehicles for state protocol

4. Motor vehicles in completely knocked down

condition having the main caharacteristics of the

relevant vehicles (CKD) which are imprted by

automotive assembly manufacturers

8702.10.110

8702.10.190

8702.10.910

8702.10.990

8702.90.110

8702.90.190

8702.90.910

8702.90.990

b.

b.1.

Group of motor vehiclesfor the transport of less

than 10 (ten) persons, including the dirver, of the

single propeller axle system (4x2)

Motor vehicles for the transport of less than 10

(ten) persons, including the driver, as well as

vans of the single propeller axle system with

spark-ignition internal combustion reciprocating

piston engines or compression ignition internal

of a cylinder capacity not exceeding 1,500 CC

1. Ambulances, hearses, fire engines, police vans, and

public transport vehicles or vehicles for the

transport of goods

official duties

8703.21.911

8703.21.919

8703.22.911

8703.21.919

8703.31.911

(6)

II. Subjected to PPnBM as high as 15% (fifteen

percent)

1.

a.1.

Group of motor vehicles for the transport of less

than 10 (ten) persons, including the driver, of the

single propeller axle system (4x2)

(ten) persons, including the driver as well as

vans of the single propeller axle system (4x2)

with spark-ignition internal combustion

reciprocating piston engines of a cylinder

capacity exceeding 1,500 CC but not exceeding

3,000 CC or compression ignition internal

of a cylinder capacity exceeding 1,500 CC but

not exceeding 2,500 CC

transport of goods

official duties

8703.23.911

8703.23.919

8703.32.911

8703.32.919

III Subjected to PPnBM as high as 30% (thirty

percent)

a.

a.1.

a.2.

Gorup of motor vehicles for the transport of less

than 10 (ten) persons, including the driver

Sedans/station wagons for the transport of less

than 10 (ten) persons including the driver of

cylinder capacity not exceeding 1,500 CC

(ten) persons as well as vans of the single

propeller axle system (4x2) with spark-ignition

internal combustion reciprocating piston engines

of a cylinder capacity exceeding 3,000 CC or

compression ignition internal combustion piston

engines (diesel/semi diesel) of cylinder capacity

exceeding 2,500 CC as well as motor vehicles

for the transport of less than 10 (ten) persons

transport of goods

official duties

(7)

including the driver as well as vans of the

double propeller axle system (4x4) with

spark-ignition internal combustion reciprocating piston

engines or compression ignition internal

of a cylinder capacity not exceeding 1,500 CC

8703.24.919

8703.31.919

8703.31.929

8703.33.911

8703.33.919

IV Subjected to PPnBM as high as 40% (forty

percent)

a.

a.1.

a.2.

a.3.

a.4.

Group of motor vehicles for the transport of less

than 10 (ten) persons including the driver with

spark-ignition internal reciprocating combustion

piston engines of a cylinder capacity exceeding

1,500 CC but not exceeding 3,000 CC

than 10 (ten) persons including the driver, with

engines (diesel/semi diesel) of a cylinder

3,000 CC

(ten) persons including the driver as well as vans

of the double propeller axle system (4x4) with

1,500 CC but not exceeding 3,000 CC

2,500 CC

transport of goods

official duties

8703.23.110

8703.23.190

8703.23.110

8703.32.190

8703.23.921

8703.23.929

8703.32.921

(8)

V. Subjected to PPnBM as high as 50% (fifty)

percent

a.

a.1.

Group of two-wheel motor vehicles

Two-wheel motor vehicles of engines with a

cylinder capacity exceeding 250 CC

official duties

8711.30.100

8711.30.900

8711.40.900

8711.50.100

8711.50.900

ex.8711.90.000

b.

b.1.

b.2.

b.3.

b.4.

Gorup of motor vehicles for the transport of less

3,000 CC

capacity exceeding 2,500 CC

3,000 CC

transport of goods

official duties

8703.33.110

8703.33.190

8703.33.110

8703.33.190

8703.24.921

8703.24.929

(9)

b.5.

b.6.

capacity exceeding 2,500 CC

Special purposes vehicles manufactured for golf

cars, racing cars and the kind

Trailers and semi trailers of the caravan type for

housing or camping

8703.33.929

8703.10.000

8716.10.000

Note : Tax restitution can be requested for PPnBM which is paid, in the case of motor vehicles being

used for public or good transport vehicles.

THE MINISTER OF FINANCE

sgd