Jakarta - Hollywood threatened to decide to stop distributing their film production in Indonesia following a tax increase for foreign movies. However, the Directorate General of Customs and Excise said there was no increase in import duty import of foreign films. Here goes the explanation.
Directorate General of Customs and Excise (DGCE) held a news conference at his office, Jalan Ahmad Yani, Rawamangun, East Jakarta, Monday (02/21/2011). Technical Director of Customs Directorate General of Customs Heri Kristiono said, had been the importer of foreign films in the country not enter the amount of royalties to the custom value.
1. There are no new policies or regulations of foreign movies because of the additional royalties to the value is in conformity with the WTO Customs Valuation Agreement has been ratified by the Constitution No. 7 of 1994 and in-Adopt the Law No. 10 of 1995 amended by No. 17/2006 concerning Customs governing provisions of the Customs Value.
2. There was no increase in import tariffs, imported films classified under HS Code 3706 with the imposition of tariffs of 10%, 10% import VAT and Income Tax section 22 imports 2.5%
3. DGCE do a re-assessment based on the reference as follows:
* Following the meeting of tariff harmonization of inter-departmental team on February 11, 2010 at the Center for State Revenue Policy BKF, led a meeting of the National Film Advisory Board (BP2N) with the Head of BKF, BKF meeting stated that the problem is the calculation of customs value for imported film is only based on price printed copy of the film, not including royalties and profit sharing rights.
* Letter of the National Film Advisory Board (BP2) to the Customs General Recruited 282/BP2N/III/2010 number dated March 26, 2010 concerning the application for determination of customs value of imported films in accordance with fair value, arguing that:
A. Taxes levied against the movie industry has been higher than imported films.
B. Based on data from the website Box Office Mojo Film, the circulation of some foreign movies which paid the producer (52 titles) film for the period April 2009 till February 2010 has resulted in nearly $ 60 million or equivalent to Rp ± 570 billion (exchange rate = IDR 9500 / 1 USD.)
* Letter of the Directorate General of Foreign Trade to the Chairman BP2N 121/DAGLU/4/2010 number dated April 12, 2010 which states that there are factors unique film containing intellectual property rights so that the determination of customs value not just use the standard flat metric Average per-movie (USD 0.43 / m).
* Letter from BKF to BP2N number S-320/KF/2010 dated June 17, 2010 regarding the Fiscal Incentives for the National Film industry and Determination of Customs Value of Imported Films that essentially contains the determination of customs value of goods imports Film is the implementation of Law No. 17 of 2006 of Customs is not the policy.
4. DGCE do a re-assessment in accordance with Law 10 of 1995 amended by No. 17/2006 on customs affairs, in which income producers of imported goods in accordance bill adheres to the principles of self assessment. Based on these principles DGCE authorized to conduct testing of the notification referred. In the Notice of Customs, the importer only inform the cost of printing copies of the film without entering a royalty to the customs value, so DGCE add it to the calculation of customs value as required.
5. On February 18, 2011 made between DGCE meeting with MPA and Film Producers (among others: 21th Century, Walt Disney, Time Warner, Sony Pictures) to discuss problems of the customs value of imported films, the meeting asked the MPA DGCE and Producer intended to convey written things that concern them to the Director-General and until now has not received DGCE.
Translate from: Tax Learning - Tax News
Directorate General of Customs and Excise (DGCE) held a news conference at his office, Jalan Ahmad Yani, Rawamangun, East Jakarta, Monday (02/21/2011). Technical Director of Customs Directorate General of Customs Heri Kristiono said, had been the importer of foreign films in the country not enter the amount of royalties to the custom value.
1. There are no new policies or regulations of foreign movies because of the additional royalties to the value is in conformity with the WTO Customs Valuation Agreement has been ratified by the Constitution No. 7 of 1994 and in-Adopt the Law No. 10 of 1995 amended by No. 17/2006 concerning Customs governing provisions of the Customs Value.
2. There was no increase in import tariffs, imported films classified under HS Code 3706 with the imposition of tariffs of 10%, 10% import VAT and Income Tax section 22 imports 2.5%
3. DGCE do a re-assessment based on the reference as follows:
* Following the meeting of tariff harmonization of inter-departmental team on February 11, 2010 at the Center for State Revenue Policy BKF, led a meeting of the National Film Advisory Board (BP2N) with the Head of BKF, BKF meeting stated that the problem is the calculation of customs value for imported film is only based on price printed copy of the film, not including royalties and profit sharing rights.
* Letter of the National Film Advisory Board (BP2) to the Customs General Recruited 282/BP2N/III/2010 number dated March 26, 2010 concerning the application for determination of customs value of imported films in accordance with fair value, arguing that:
A. Taxes levied against the movie industry has been higher than imported films.
B. Based on data from the website Box Office Mojo Film, the circulation of some foreign movies which paid the producer (52 titles) film for the period April 2009 till February 2010 has resulted in nearly $ 60 million or equivalent to Rp ± 570 billion (exchange rate = IDR 9500 / 1 USD.)
* Letter of the Directorate General of Foreign Trade to the Chairman BP2N 121/DAGLU/4/2010 number dated April 12, 2010 which states that there are factors unique film containing intellectual property rights so that the determination of customs value not just use the standard flat metric Average per-movie (USD 0.43 / m).
* Letter from BKF to BP2N number S-320/KF/2010 dated June 17, 2010 regarding the Fiscal Incentives for the National Film industry and Determination of Customs Value of Imported Films that essentially contains the determination of customs value of goods imports Film is the implementation of Law No. 17 of 2006 of Customs is not the policy.
4. DGCE do a re-assessment in accordance with Law 10 of 1995 amended by No. 17/2006 on customs affairs, in which income producers of imported goods in accordance bill adheres to the principles of self assessment. Based on these principles DGCE authorized to conduct testing of the notification referred. In the Notice of Customs, the importer only inform the cost of printing copies of the film without entering a royalty to the customs value, so DGCE add it to the calculation of customs value as required.
5. On February 18, 2011 made between DGCE meeting with MPA and Film Producers (among others: 21th Century, Walt Disney, Time Warner, Sony Pictures) to discuss problems of the customs value of imported films, the meeting asked the MPA DGCE and Producer intended to convey written things that concern them to the Director-General and until now has not received DGCE.
Translate from: Tax Learning - Tax News
Seriously, the retards in the government forgot to take their pills. This decision will lead to the destruction to the local movie industry and ends with economy sectors. Seeing that it is already bad enough with the semi-porn-horror stuff.
ReplyDeleteTruly the idiots of idiots.
I do agree with the comment above...anyways good job guys...thanks for sharing.
ReplyDelete