Updated prices for the calculation of export duties in Indonesia

International Tax Review is part of Legal Benchmarking Limited, 1-2 Paris Garden, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2025

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Updated prices for the calculation of export duties in Indonesia

Sponsored by

sponsored-firms-gnv.png
asia-2247505.jpg

Endy Arya Yoga and Egar Adipratama of GNV Consulting summarise significant Indonesian changes regarding export prices, the luxury goods reporting system for government business partners, and the objection process for customs and excise disputes.

The Indonesian Minister of Finance (MoF) has issued Decree No. 29/KM.4/2022 (‘KMK-29’) regarding the Second Amendment to MoF Decree No. 28/KM.4/2022 (‘KMK-28’) concerning Determination of Export Prices for the Calculation of Export Duties. KMK-29 became effective from September 1 2022 until September 30 2022. However, these export prices remain valid until a new export prices regulation is issued.

The main changes under KMK-29 are as follows:

  • Changes in the determination of the export price for export goods in the form of veneer wood, woodchips, processed wood, skin, cocoa beans, processed metallic mineral products, and metallic mineral products meeting certain criteria; and

  • Changes in the guidelines for the types of export goods that are subject to export duties, including the amount of the export duty tariff referring to the Attachment of MoF Regulation 123/PMK.010/22 regarding the Second Amendment to MoF Regulation No. 39/PMK.010/22 concerning Decisions on Exported Goods Subject to Export Duties and Export Duty Tariffs, as referred to in GNV Consulting’s Local Insights articles in July and September 2022.

The key changes in export prices between KMK-29 and KMK-28 are as follows:

No.

Description

Export Price

KMK-29

KMK-28

I

Export price for wood

 

 

 

Veneer, veneer wood in the form of wooden sheets for packaging boxes

$850/m3

$800/m3

 

Processed wood, merbau

$1,100/m3

$1,000/m3

II

Export prices for cocoa beans

 

 

 

Cocoa beans

$2,078/mt

$ 2,075/mt

III

Export prices for processed mineral products

 

 

 

A. Copper concentrate, copper concentrate with 15% grade ≤ Cu < 16% and with gold 0 ppm grade < Au ≤ 5 ppm

$1,131.16/WE

$1,155.98/WE

 

B. Iron concentrate, iron concentrate (hematite, magnetite) measuring 62% ≤ Fe < 63%

$86.10/WE

$94.13/WE

For other changes in export prices, see the Attachment of KMK-29.

Luxury goods reporting for government business partners

On September 9 2022, the Directorate General of Taxes issued Regulation No. PER-13/PJ/2022 (‘PER-13’) concerning the Procedures of VAT/Sales Tax on Luxury Goods Reporting for Government Business Partners in relation to the Government Procurement Information System. The issuance of PER-13 was designed to provide clarity and legal certainty to ease the implementation of MoF Regulation No. 58/PMK.03/2022.

Government business partners (GBP) categorised as small entrepreneurs do not need to report VAT or sales tax on luxury goods that have been collected, deposited, and reported by other parties (i.e., marketplaces/retailers designated by the government).

GBP that are not categorised as small entrepreneurs are required to report the delivery of taxable goods or taxable services as VAT that is collected by the VAT collector.

GBP as mentioned above are entrepreneurs that provide goods and/or services through the Government Procurement Information System.

The criterion of ‘small entrepreneur’ is an entrepreneur that has deliveries of taxable goods and/or taxable services with a total gross turnover not exceeding IDR 4.8 billion ($313,000) for one fiscal year, as stipulated in MoF Regulation No. 197/PMK.03/2013 regarding the amendment of MoF Regulation No. 68/PMK.03/2013 concerning small entrepreneurs.

Customs and excise objections

On September 12 2022, the MoF issued Regulation No. 136/PMK.04/2022 (‘PMK-136’) regarding the amendment to MoF Regulation No. 51/PMK.04/2017 (‘PMK-51’) concerning Objections for Customs and Excise. PMK-136 will become effective on January 1 2023.

The highlight of the changes under PMK-136 is that the Directorate General of Customs and Excise (DGCE) will implement a new interface in CEISA, an official DGCE web-based portal, as a default channel to accommodate the objection process for customs and excise disputes.

The following are the key changes between PMK-136 and PMK-51:

Description

PMK-136

PMK-51

Default submission procedures of an objection letter and additional explanation/supporting documents

Different formats of an objection letter for underpayment and zero payment;

Online letter submission, additional explanation/supporting documents, and receipt issued through the CEISA portal; and

Troubleshooting assistance can be provided by DGCE officers via phone call.

Single objection letter format; and

Manual letter submission, additional explanation/supporting documents, and receipt issued through the DGCE office.

Cancellation procedures for the submitted objection letter

Cancellation submitted through the CEISA portal.

Cancellation submitted through the DGCE office.

Extraordinary submission and cancellation procedures of an objection letter

The DGCE will inform when the portal is inoperable through digital media; and

The DGCE allows the submission, cancellation, and receipt issued of an objection letter manually through the DGCE office if the portal is inoperable, and the proof needs to be attached.

-

Issuance of an objection decision letter

The objection decision letter will be issued by the DGCE through the CEISA portal; or

Manually, via a post office, in the event that the CEISA portal is inoperable.

The objection decision letter will be issued by the DGCE manually.

more across site & shared bottom lb ros

More from across our site

The EU defended its ‘sovereign right’ to impose the tax in the face of US tariff threats; in other news, the US deputy Treasury secretary resigned after just five months
Ascoria’s chief revenue officer shares her career wisdom garnered from the disparate worlds of tax technology, electric cables, radio DJing and more
Businesses no longer have a choice when it comes to tax technology transformation. Pavlo Boyko of TMF Group says the question is simply: sink or swim?
The firm is hunting for a senior TP manager in its quest to build a full-service practice in Indonesia, A&M Tax’s Jakarta head Jaap Zwaan tells ITR
With a new government in place, the evolving tax landscape presents both opportunities and challenges for taxpayers
Major economies have expressed concerns, with China arguing a US global minimum tax exemption would be a violation of the principle of fair competition – ITR understands
Senator Richard Colbeck told ITR he was concerned by the decision to let PwC Australia tender for government contracts again after a scandal-induced ban
Whether it be due to a fragmented advisory market or a rise in M&A, Italy’s frenetic hiring has not gone unnoticed by ITR’s Talent Tracker
The deal gives Azets 14 new partners and boosts its Swedish revenues to over $100 million; in other news, Svalner Atlas launched in Copenhagen
The tax technology company will be providing a free demonstration of its OTP software and offering best practice advice on whether to ‘buy or build’ on September 8
Gift this article