Indonesian Taxation and Economic Terminology in English

KPP Badora (Badan dan Orang Asing) = Foreign Corporate and Individual (Badora) Tax Service Office
BKPM (Badan Koordinasi Penanaman Modal) = Capital Investment Coordinating Board
BPKP (Badan Pengawasan Keuangan dan Pembangunan) = The Development Finance Comptroller / State Comptroller Agency
BAPEPAM (Badan Pengawasan Pasar Modal) = Capital Market Supervisory Board
BPSP (Badan Penyelesaian Sengketa Pajak) = Tax Dispute Settlement Agency; was replace with PP
BAPPENAS (Badan Perencanaan Pembangunan Nasional) = National Development Planning Board
BPN (Badan Pertanahan Nasional) = National Land Agency
BUPLN (Badan Urusan Piutang dan Lelang Nasional) = The State Agency for Receivables and Auctions
BUT (Bentuk Usaha Tetap) = Permanent Establishment (PE)
Bank Persepsi = Tax Payment Bank
BKP (Barang Kena Pajak) = Taxable Good(s)
BBN (Bea Balik Nama) = Title Transfer Tax (esp. vehicles)
BM (Bea Meterai) = Stamp Duty
BPHTB (Bea Pengalihan Hak Atas Tanah & Bangunan) = Land and Building Title Transfer Duty
Berita Acara Hasil Pemeriksaan = Acknowledgement of Audit Results
Berita Acara Pemusnahan = Destruction Report/Destruction Declaration
Buku Petunjukkan Pengisian = Instruction Booklet
DPP (Dasar Pengenaan Pajak) = Tax (Imposition) Base/Tax Basis
DJBC (Direktorat Jenderal Bea dan Cukai) = The Directorate General of Customs and Excise
DJLK (Direktorat Jenderal Lembaga Keuangan) = The Directorate General of Financial Institutions
DJP (Direktorat Jenderal Pajak) = The Directorate General of Taxation (DGT)
Direktur Peraturan Pajak = The Director of Tax Regulations
Faktur Pajak = Tax Invoice(s)
Faktur Pajak Pengganti = Revised Tax Invoice(s)
Fiskal Luar Negeri = Exit Tax or Departure Tax
IKPI (Ikatan Konsultan Pajak Indonesia) = Indonesian Tax Consultants Association
JKP (Jasa Kena Pajak) = Taxable Service(s)
KPP (Kantor Pelayanan Pajak) = Tax Service Office(s)
Karikpa (Kantor Pemeriksaan dan Penyidikan Pajak) = Tax Audit and Investigation Office
KPKN (Kantor Perbendaraan dan Kas Negara) = The State Treasury
KPP PMB (Kantor Pelayanan Pajak Perusahaan Masuk Bursa) = Tax Service Office for Publicly Listed Companies
KUP (Kantor Umum dan Tata Cara Pajak) = General Provisions and Tax Procedures
Kanwil (Kantor Wilayah) = Regional Office
KB (Kawasan Berikat) = Bonded Zone(s)
KAPET (Kawasan Pengembangan Ekonomi Terpadu) = Integrated Economic Development Zone(s)
Kepala Bidang Rikpan (Kepala Bidang Pemeriksaan dan Penyidikan Pajak) = Division Head of The Tax Audit and Investigation Office
Kasi (Kepala Seksi) = Section Head(s)
Kasubdit (Kepala Sub-Direktorat) = Sub-Directorate Head(s)
Kasubsi (Kepala Sub-Seksi) = Sub-Section Head(s)
KEPMEN (Keputusan Menteri) = Ministerial Decree(s)
UU KUP (Undang-Undang Ketentuan Umum dan Tata Cara Perpajakan) = The General Tax Provisions and Procedures Law
Ketua Majelis (BPSP) = Presiding Judge (Tax Dispute Settlement Agency)
KLU (Klasifikasi Lapangan Usaha) = Business Field Classification
KBH (Kontrak Bagi Hasil) = Production-Sharing contract (PSC)
KK (Kontrak Karya) = Contract of Work (CoW)
KP (Kuasa Pertambangan) = Delegated Mining Rights
NJKP (Nilai Jual Kena Pajak) (PBB) = Taxable Sales Value (L and B Tax)
NJOP (Nilai Jual Objek Pajak) (PBB) = Land and Building Tax Imposition Base, or Tax Object Sales Value
NPPKP (Nomor Penegasan Pengusaha Kena Pajak) = Taxable VAT Entity Confirmation Number
NPWP (Nomor Pokok Wajib Pajak) = Tax ID Number / Tax Registration Number
NPP (Nota Perhitungan Pajak) = Tax Calculation/Computation Memo
PBB (Pajak Bumi dan Bangunan) = Land and Building Tax (L and B tax)
Pajak Keluaran = Output VAT
Pajak Masukan = Input VAT
Pajak Pembangunan = Development Tax (for district/regency level)
PPh (Pajak Penghasilan) = Income Tax
PPnBM (Pajak Penjualan atas Barang Mewah) = Luxury Sales Tax (LST), or Sales Tax on Luxury Goods
PPN (Pajak Pertambahan Nilai) = Value Added Tax (VAT)
Pajak Pertambahan Nilai Tidak Dipungut = Non-Collected VAT
PTLL (Pajak Tidak Langsung Lain) = Other Indirect Taxes
PE (Pedagang Eceran) = Retail Merchant / Retail Trader
Pekerjaan Bebas = Self-Employment / Freelance Work
Pembangunan Sendiri = Independent Construction
PEB (Pemberitahuan Ekspor Barang) = Export Declaration(s)
PHP (Pemberitahuan Hasil Pemeriksaan) = Notification of Tax Audit Findings
PIB (Pemberitahuan Impor Barang) = Import Declaration(s)
PLK (Pemeriksaan Lengkap Kantor) = Comprehensive Office Tax Audit(s)
PLL (Pemeriksaan Lengkap Lapangan) = Comprehensive Field Tax Audit(s)
PSK (Pemeriksaan Sederhana Kantor) = Simple Office Tax Audit(s)
PSL (Pemeriksaan Sederhana Lapangan) = Simple Field Tax Audit(s)
PP (Pengadilan Pajak) = Tax Court
Pemeteraian Kemudian = Postdated Duty Stamp(s)
Pemungut Pajak = VAT Collector
PMA (Penanaman Modal Asing) = Foreign Capital Investment
PMDN (Penanaman Modal Dalam Negeri) = Domestic Capital Investment
PTKP (Penghasilan Tidak Kena Pajak) = Non-Taxable Income
PKP (Pengusaha Kena Pajak) = VAT Enterprise(s) / Taxable Enterprise(s)
PKP PE (Pengusaha Kena Pajak Pedagang Eceran) = Retail-Trade Taxable Enterprise(s)
PKP Rekanan (Pengusaha Kena Pajak Rekanan) = VAT-Collector Counterpart(s)
Permohonan Peninjauan Kembali = A Request for Reconsideration / Judicial Review
Permohonan Penundaan Pajak = Tax Deferment Request(s)
Pertimbangan Risalah Penyelesaian Keberatan = (Tax) Auditor’s Objection Memorandum
Peraturan Menteri Keuangan = Minister of Finance Regulation
Restitusi Pajak = Tax Refund(s)
Secara Jabatan = Ex Officio
Seksi Penerimaan dan Keberatan = Receiving and Objection Section
Surat Banding Pemohon = An Appeal(s)
Surat Bantahan Pemohon = Response to An Appeal Summation
SE (Surat Edaran) = Circular (Letter)
Surat Keberatan = Objection (Letter)
Putusan Banding = Appeal Decision (Letter)
Surat Keputusan Keberatan = Objection Decision (Letter)
SKKPP (Surat Keputusan Kelebihan Pembayaran Pajak) = Tax Overpayment Decision (Letter)
SKPIB (Surat Keputusan Pemberian Imbalan Bunga) = Interest Repayment Decree
SKPPKP (Surat Keputusan Pengembalian Pendahuluan Kelebihan Pajak) = Advance Tax Overpayment Refund Decree
SKPPKP (Surat Keputusan Pengukuhan Pengusaha Kena Pajak) = Taxable Enterprise Confirmation (Letter)
SKB (Surat Keterangan Bebas) = Exemption Certificate(s)
SKF (Surat Keterangan Fiskal) = Tax Clearance Certificate/Letter
SKFLN (Surat Keterangan Fiskal Luar Negeri) = Fiscal Exit (Departure) Tax Payment Slip
SKT (Surat Keterangan Tarif) = Tax Relief Certificate
SKP (Surat Ketetapan Pajak) = Tax Assessment (Letter)
SKPKB (Surat Ketetapan Pajak Kurang Bayar) = Tax Underpayment Assessment (Letter)
SKPKBT (Surat Ketetapan Pajak Kurang Bayar Tambahan) = Additional Tax Underpayment Assessment (Letter)
SKPLB (Surat Ketetapan Pajak Lebih Bayar) = Tax Overpayment Assessment (Letter)
SKPN (Surat Ketetapan Pajak Nihil) = Nil Tax Assessment (Letter)
Surat Pajak Pertambahan Nilai Tidak Dipungut = Non-Collected VAT Certificate
Surat Paksa = Distress Warrant
Surat Panggilan = Summons (Letter)
SPS (Surat Panggilan Sidang) = Hearing Summons (Letter)
SPHP (Surat Pemberitahuan Hasil Pemeriksaan) = Notification of Tax Audit Findings
SPT Masa (Surat Pemberitahuan Masa) = Periodic Tax Return (usually monthly)
SPOP (Surat Pemberitahuan Obyek Pajak) = Tax Object Notification (Letter) (L&B Tax)
SPPT (Surat Pemberitahuan Pajak Terutang) (PBB) = Notification of Tax Due (L&B Tax)
SPT (Surat Pemberitahuan Tahunan) = Annual Tax Return
SPK (Surat Peninjauan Kembali) = Request for Reconsideration
Surat Peringatan = Reminder Letter
SPMKP (Surat Perintah Membayar Kelebihan Pajak) = Tax Overpayment Refund Order
SPPP (Surat Perintah Pemeriksaan Pajak) = Tax Audit Order, or Tax Audit Instruction Letter
SPPSS (Surat Perintah Penagihan Seketika dan Sekaligus) = Immediate and Total Tax Collection Order(s)
SPPB (Surat Perintah Penyerahan Barang) = Delivery Order(s)
Surat Pernyataan Persetujuan = Declaration of Acceptance
Surat Pernyataan Persetujuan atas Hasil Pemeriksaan Pajak = Declaration of Acceptance of (The) Tax Audit Findings
SPPB (Surat Persetujuan Pengeluaran Barang) = Approval for The Export of Goods, Goods Export Approval
SSBC (Surat Setoran Bea Cukai) = Excise Payment Slip(s)
SSBPHTB (Surat Setoran Bea Perolehan Hak atas Tanah dan Bangunan) = Land and Building Duty Payment Slip
SSP (Surat Setoran Pajak) = Tax Payment Slip(s)
SSPNBP (Surat Setoran Penerimaan Negara Bukan Pajak) = Non-Tax State Revenue Payment Slip
SS (Surat Sita) = Confiscation Letter(s)
STP (Surat Tagihan Pajak) = Tax Collection Letter(s)
Surat Teguran = Warning Letter(s)
Surat Uraian Banding = Appellee’s Brief
TBPFLN (Tanda Bukti Pajak Fiskal Luar Negeri) = Fiscal Exit Tax Payment Slip(s)

VAT Refund Service at Polonia Airport, Medan is No Longer Available

Cause of the moving of the Airport in Medan, North Sumatera from Polonia Airport to Kuala Namu Airport, Indonesian Directorate General of Tax make an announcement using Announcement Number PENG-08/PJ.09/2013. The announcement are:

Since 24 July 2013 at 11.59 PM local time, VAT Refund counter at Polonia Airport in Medan is no longer available for VAT Refund service.

VAT Refund counter will be replaced to the new Medan International Airport in Kuala Namu, Medan. During the moving, we apologize for not giving VAT Refund service.

We planned to transfer VAT Refund counter from Polonia Airport, Medan to Kuala Namu Airport, Medan soon. We will inform publically through our website (www.pajak.go.id) and mass media by the time VAT Refund counter at Kuala Namu Airport, Medan is ready to serve VAT Refund for tourists.

We apologize for the incovenience. Thank you very much for your kind understanding.

Director of Dissemination, Services and Public Relations

signed

Kismantoro Petrus

Govt cuts tax obligations for oil and gas companies

In a bid to bolster oil production at a time of dwindling reserves, the government is trimming down the tax obligations of petroleum companies.

Oil and gas contractors would be exempt from import duties, value-added tax (PPN) and luxury-goods sales tax as of April this year under the new Finance Ministry’s regulation PMK 70/2013.

Upstream regulatory task force SKKMigas’ risk management and tax chief Bambang Yuwono said over the weekend that the new regulation would be applied to companies actively exploring new sites as well as contractors at the exploitation stage.

“The new regulation is expected to boost exploration activities and production,” he said in a statement.

Indonesia quit the Organization of Petroleum Exporting Countries (OPEC) in 2008 after aging oil fields and a lack of large, profitable reserves meant it was no longer a net importer.

In the first-three months of this year, the regulator claimed average daily oil output reached 830,900 barrels per day (bpd) — much less than the 1 million bpd produced in the early 2000s. In addition, investment for the sector remains low.

Of the US$26.2 billion investment expected this year, only $2.7 billion would come from a total 200 contractors for the exploration and drilling of 75 oil and gas wells.

Given this fact, SKKMigas secretary Gde Pradnyana said the government’s most recent move would be appreciated.

“The risk of failure in oil exploration is very high. Therefore, they [the investors] should not be burdened further with taxes,” he said.

Research by the Wood Mackenzie Group earlier this year showed that Malaysia had surpassed Indonesia in 2012 as the key player in the upstream hydrocarbon industry in Southeast Asia.

The Edinburgh-based global energy oil and gas research specialist noted that while Malaysia discovered 1.4 billion barrels of oil equivalent (boe) last year — or 72 percent of the total discoveries in the region — Indonesia only discovered 13 million boe of new reserves in 20 new oil and gas fields — a mere 14 percent.

This year, SKKMigas plans to drill 258 exploration wells, 1,178 development wells and 1,094 work-over wells in addition to a 18,751-kilometer 2-D seismic survey and a 22,298-square-kilometer 3-D seismic survey.

Last year, only 80 new wells were discovered, far below the annual target of 250. Only 51 turned out to be promising — continuing the trend of previous years.

In addition, SKKMigas proposed that the government lowered the average daily output target to 840,000 bpd from the previous target of 900,000 bpd under the 2013 state budget.

With the Cepu block in Central Java (operated by US-based ExxonMobil) projected to produce 165,000 bpd by October 2014, the effort to boost production to 1 million bpd is more realistic.

Separately, the Indonesian Petroleum Association (IPA) deputy chairman Sammy Hamzah said the association appreciated that the government had shown commitment to the oil exploration sector.

Sammy, also president director of coal bed methane (CBM) contractor PT Ephindo, said the previous tax obligations — on top of high costs and the risk of exploration activities — had further lowered investment.

Source: thejakartapost.com

EU imposes anti-dumping duty on RI's biodiesel

The European Union announced on Tuesday that it will impose an anti-dumping duty on Indonesian biodiesel.

The bloc’s trade body, European Commission (EC), took the decision after an investigation revealed that biodiesel imported from Indonesia at below market price had hurt its biodiesel producers.

The EC said it had decided to impose duties amounting to 10.6 percent of the total price on biodiesel imported from Indonesian producers, including Pelita Agung Agrindustri.

Similar anti-dumping duty would also be imposed on biodiesel from Argentina, it said.

The tariff is set to take effect on Wednesday. It will stay in place for the next six months and can be extended for five years.

Source: Thejakartapost.com