REGULATION OF THE MINISTER OF FINANCE
No. 89/PMK.04/2007

CONCERNING
IMPORT OF PERSONAL BELONGINGS OF PASSENGERS, CREW MEANS OF TRANSPORT, BORDER CROSSERS AND SHIPMENT

THE MINISTER OF FINANCE,

Considering:

In the framework of implementing the provisions of Article 10B paragraph (5), Article 13 paragraph (2) and Article 25 paragraph (3) of Law No. 10/1995 concerning Customs Affair as already amended by Law No. 17/2006, it is necessary to stipulate a regulation of the Minister of Finance concerning the import of personal goods of passengers, crew members of carriers, cross borders and delivery goods;

In view of:

• 1. Law No. 10/1995 concerning Customs (Statute Book of Republic of Indonesia Year 1995 No. 75, Supplement to Statute Book No. 3612) as already amended and the latest by Law No. 17/2006 (Statute Book of Republic of Indonesia Year 2006 No. 93, Supplement to Statute Book No. 4661);
• 2. Law No. 11/1995 concerning Excise (Statute Book of Republic of Indonesia Year 1995 No. 76, Supplement to Statute Book No. 3613);
• 3. Law No. 6/1983 concerning Taxation General Provisions and Procedures (Statute Book of 1983 No. 49, Supplement to Statute Book No. 3262) as already amended several times and the latest by Law No. 16/2000 (Statute Book of 2000 No. 126, Supplement to Statute Book No. 3984);
• 4. Law No. 7/1983 concerning Income Tax (Statute Book of 1983 No. 50, Supplement to Statute Book No. 3263) as already amended several times and the latest by Law No. 17/2000 (Statute Book of 2000 No. 127, Supplement to Statute Book No. 3985);
• 5. Law No. 8/1983 concerning Value Added Tax (Statute Book of 1983 No. 51, Supplement to Statute Book No. 3264) as already amended several times and the latest by. Law No. 18/2000 (Statute Book of 2000 No. 128, Supplement to Statute Book No. 3986);
• 6. Government Regulation No. 21/1996 concerning Disciplinary Actions in the Customs Field (Statute Book of 1996 No. 36, Supplement to Statute Book No. 3626);
• 7. Presidential Decree No. 20/P/2005;

HAS DECIDED:

To stipulate:

THE REGULATION OF THE MINISTER OF FINANCE CONCERNING THE IMPORT OF PERSONAL GOODS OF PASSENGERS, CREW MEMBERS OF CARRIERS, CROSS BORDERERS AND DELIVERY GOODS

CHAPTER I
GENERAL PROVISION

Article 1

Referred to in this regulation as:

• 1. Personal Goods of passengers shall be goods carried by anybody passing the territorial border of a state by using carriers, excluding goods carried by crew members of carriers or cross borderers.
• 2. Goods of Crew Members of Carriers shall be goods carried by anybody that must be aboard carriers and come along with the carriers because of the characteristic of his/her work.
• 3. Delivery Goods shall be imported goods sent by certain senders abroad to certain recipients in the country.
• 4. Goods of Cross Borderers shall be goods carried by cross borderers.
• 5. Cross Borderers shall be residents living or domiciled in the territorial border of the state as well as having identity card issued by the authorized institution and undertaking cross border travel in the border area through cross border supervisory post.
• 6. Customs Declaration hereinafter called CD shall be a notification about imported goods carried by passengers or crew members of carriers.
• 7. Cross Border Pass hereinafter called PLB shall be a card issued by immigration office to cross borderers.
• 8. Cross Border Supervisory Post, hereinafter called PPLB shall be a place appointed in territorial border of the state to inform and settle customs liabilities of goods belonging to cross borderers.
• 9. Cross Border Identity Card hereinafter called KILB shall be a card issued by customs office overseeing cross border supervisory post to cross borderers after the specified requirements are fulfilled.
• 10. Pass Book of Cross Border Goods hereinafter called BPBLB shall be a book used by customs and excise officials to record the quantity, kind and customs value of goods carried by cross borderers from outside the customs area.
• 11. Green Lane shall be a release lane of imported goods wherein the goods are not inspected physically.
• 12. Red Lane shall be a release lane of goods wherein the goods are inspected physically.
• 13. Courier Service Providers hereinafter called PTJ shall be companies securing license to provide courier service from the related institution as well as securing approval to undertake customs activities from the head of customs offices.
• 14. Director shall be the Director of Customs and Excise.
• 15. Customs Affair Law shall be Law No. 10/1995 on Customs Affair as already amended by Law No. 17/2006.
• 16. Customs and Excise Officials shall be employees of the Directorate General of Customs and Excise appointed in certain position to undertake certain tasks on the basis of the customs law.
• 17. Customs Office shall be office within the Directorate General of Customs and Excise where customs liabilities are settled in accordance with the customs law.

CHAPTER II
EXEMPTON FROM IMPORT DUTY AND TREATMENT OF TAX IN THE FRAMEWORK OF THE IMPORT

Article 2

Personal goods of passengers, crew members of carriers, cross borderers and delivery goods to the extent of certain customs value and/or quantity shall be:

• a. exempt from import duty; and
• b: excluded from the collection of tax in the framework of import in accordance with the provisions of the taxation legislation in force.

Part One
Personal Goods of Passengers

Article 3

(1) The personal goods of passengers as described in Article 2 shall be goods arriving simultaneously with the passengers.

(2) The personal goods of passengers arriving before or after the arrival of the passengers shall be categorized as goods arriving simultaneously with the passengers as described in paragraph (1) as long as the following requirements are fulfilled:

• a. the goods arrive in not later than 60 (sixty) days after the arrival of the passengers, in the case of the passengers using sea carriers;
• b. the goods arrive in not later than 15 (fifteen) days after the arrival of the passengers, in the case of the passengers using air carriers.

(3) The goods as described in paragraph (2) shall have their ownership able to prove by using passport and boarding pass of the relevant.

(4) In the case of the period as described in paragraph (2) elapsing, the goods not arriving simultaneously with the passengers shall not be exempt from import duty and shall be subject to the collection of tax in the framework of the import.

Article 4

(1) The personal goods of passengers as described in Article 3 paragraph (1) with the maximum customs value amounting to FOB US$250.00 (two hundred and fifty US Dollars) per person or FOB US$1,000.00 (one thousand US dollars) per family for every trip shall be exempt from import duty and not be subject to the collection of tax in the framework of import in accordance with the provisions of taxation legislation in force.

(2) In the case of the personal goods of passengers exceeding the customs value as described in paragraph (1) import duty and tax in the framework of the import shall be collected on the basis of the excess.

Article 5

(1) Besides exempting the goods as described in Article 4 paragraph (1) from import duty, personal goods of passengers categorized as excisable goods also shall be exempt from excise for every adult with the maximum limit as follows:

• a. 200 (two hundred) cigarettes, 25 (twenty five) cigars or 100 (one hundred) grams of sliced tobacco/other tobacco products; and
• b. One liter of ethyl alcoholic beverage.

(2) In the case of the tobacco products as described in paragraph (1) letter e being more than one kind, the excise exemption shall be granted in the quantity equivalent to the quantity per kind of the tobacco products.

(3) The excess of the excisable goods in the quantity as described in paragraph (1) shall be destroyed directly with or without the presence of the passengers.

Part Two
Goods of Crew Members of Carriers

Article 6

(1) Goods belonging to crew members of carriers with the customs value not exceeding FOB US$50.00 (fifty US Dollars) per person for every moment of arrival shall be exempt from import duty and not be subject to the collection of tax in the framework of import in accordance with the provisions of taxation legislation in force.

(2) In the case of goods of crew members of carriers exceeding the limit of the customs value as described in paragraph (1), import duty and tax in the framework of the import shall be collected on the basis of the excess.

Article 7

(1) Besides exempting the goods as described in Article 6 paragraph (1) from import duty, goods of crew members of carriers categorized as excisable goods also shall be exempt from excise with the maximum limit as follows:

• a. 40 (forty) cigarettes, 10 (ten) cigars or 40 (forty) grams of sliced tobacco/other tobacco products; and
• b. 350 (three hundred and fifty) milliliter of ethyl alcoholic beverage.

(2) In the case of the tobacco products as described in paragraph (1) letter e being more than one kind, the excise exemption shall be granted in the quantity equivalent to the quantity per kind of the tobacco products.

(3) The excess of the excisable goods in the quantity as described in paragraph (1) shall be destroyed directly with or without the presence of the crew members.

Part Three
Goods of Cross Borderers

Article 8

(1) The goods of cross borderers as described in Article 2 shall be exempt from import duty and not be subject to the collection of tax in the framework of import in accordance with the provisions of taxation legislation in force with the customs value as follows:

• a. Indonesia and Papua New Guinea, maximally amounting to FOB US$300.00 (three hundred US Dollars) per person for one month.
• b. Indonesia and Malaysia:
• 1) maximally amounting to FOB MYR600.00 (six hundred Malaysia Ringgit) per person for one month, in the case of the cross borderers passing through mainland border;
• 2) Maximally amounting to FOB MYR600.00 (six hundred Malaysia Ringgit) per ship per trip, in the case of the cross borderers passing through sea border.
• c. Indonesia and the Philippines, maximally amounting to FOB US$250.00 (two hundred and fifty US Dollars) per person for one month.
• d. Indonesia and Timor Leste, maximally amounting to FOB US$50,00(fifty US Dollar) per person per day.

(3) In the case of goods of cross borderers exceeding the limit of the customs value as described in paragraph (1), import duty and tax, in the framework of the import shall be collected on the basis of the excess.

Part Four
Delivery Goods

Article 9

(1) The delivery goods as described in Article 2 shall be exempt from import duty and not be subject to the collection of tax in the framework of the import in accordance with the provisions of taxation legislation in force with the maximum customs value amounting to FOB US$50.00 (fifty US Dollars) per every person per delivery.

(2) In the case of the customs value of the delivery goods exceeding the limit of the exemption from import duty, the delivery goods shall be subject to the collection of import duty and tax in the framework of the import on the basis of the full customs value subtracted by the customs value securing the exemption from import duty.

CHAPTER III
DECLARATION, INSPECTION AND RELEASE OF GOODS

Article 10

(1) Import goods carried by passengers, crew members of carriers, cross borderers and delivery goods shall be notified to customs and excise officials in customs offices.

(2) The imported goods as described in paragraph (1) only can be released by approval of the customs and excise officials.

Part One
Notification and Release of Personal Goods of Passengers

Article 11

(1) Personal goods of passengers arriving simultaneously with passengers shall be notified to customs and excise officials by using CD.

(2) CD as described in paragraph (1) shall be filled completely and truthfully.

(3) The notification as described in paragraph (1) can be done verbally in certain pl9ces stipulated by the Director General.

Article 12

(1) Based on the notification as described in Article 11, passengers can choose to release the imported goods through:

• a. red lane in the case of passengers carrying imported goods:
• 1) with the customs value exceeding the limit of exemption from import duty, which is granted and/or the quantity of excisable goods exceeding the provision on exemption from excise;
• 2) in the form of animals, fish and plants, including products resulting from animals, fish and plants;
• 3) in the form of narcotics, psychotropic, medicines, firearms, air rifle, sharp weapon, ammunition, explosive, pornographic materials/publications;
• 4) in the form of cinematographic film, video tape containing record of video laser disc or laser disc; or ;
• 5) in the form of rupiah currency or foreign currency with the value amounting to Rp 100,000,000.00, (one hundred million rupiahs) or over.
• b. green lane, in the case of passengers not carrying the imported goods as described in a above.

(2) After receiving the notification as described in Article 11, customs and excise officials:

• a. shall issue approval of the release of goods in the case of passengers passing through green lane; or
• b. shall undertake physical inspection in the case of passengers passing through red lane.

(3) In the case of suspicion coming up, the authorized customs and excise officials shall undertake physical inspection of goods of passengers passing through the green-lane.

Article 13

(1) In the case of result of the physical inspection as described in Article 12 paragraph (1) letter a finding that:

• a. the excisable goods exceeds the stipulated quantity, the excess of the excisable goods shall be destroyed directly with or without the presence of the passengers;
• b. the goods are forbidden or subject to import restriction, customs and excise officials shall take actions in accordance with the provisions in force;
• c. the customs value of the personal goods of passengers does not exceed the limit of exemption from import duty, the personal goods shall be exempt from import duty and not be subject to the collection of tax in the framework of the import in accordance with the provisions of taxation legislation in force.
• d. The customs value of the personal goods of passengers exceeds the limit of exemption from import duty, the goods shall be subject to the collection of import duty and tax in the framework of the import on the basis of the full customs value subtracted by the customs value securing the exemption from import duty.

(2) Customs and Excise officials shall record the result of physical inspection as described in paragraph (1) letter d and based on the result of the physical inspection, the customs and excise officials shall stipulate the customs value and tariff as well as count import duty and tax in the framework of the import in the sheet of CD.

(3) In the case of the conditions as described in paragraph (1) letters a, b, c and d being not found in the physical inspection of personal goods of the passengers, customs and excise officials shall issue approval of the release of the goods.

Article 14

(1) Passengers shall pay import duty and tax in the framework of the import on the basis of the stipulation as described in Article 13 paragraph (2) ar1d shall be given payment form.

(2) After receiving the payment, customs and excise officials shall book data about personal goods of the passengers subject to import duty and tax in the framework of the import as contained in CD into the customs registry book.

Article 15

(1) Customs and Excise officials shall issue the approval of release of personal goods of passengers as described in Article 13 paragraph (1) letter d after the passengers settle import duty and tax in the framework of the import.

(2) The approval of the release of passenger goods to be used during staying in the customs area and carried back upon leaving the customs area shall abide by the provisions on provisional import.

(3) The release of personal goods of passengers as described in Article 3 paragraph (2), which are:

• a. registered in manifest, shall be settled by Certain Import Declaration (PIBT);
• b. registered as "Lost and Found" goods; shall be settled by CD.

Part Two
Notification and Release of Goods Belonging Crew Members of Carriers

Article 16

(1) Goods belonging to crew members of carry arriving from outside the customs area shall be notified to customs and excise officials by using CD.

(2) CD as described in paragraph (1) shall be filled completely and truthfully and convey it to customs and excise officials.

(3) The notification as described in paragraph (1) can be done verbally in certain places stipulated by the Director General.

Article 17

(1) Based on the notification as described in Article 16, crew members of carriers can choose to release the imported goods through:

• a. red lane in the case of passengers carrying imported goods:
• 1) with the customs value exceeding the limit of exemption from import duty, which is granted and/or the quantity of excisable goods exceeding the provision on exemption from excise;
• 2) in the form of animals, fish and plants, including products resulting from animals, fish and plants;
• 3) in the form of narcotics, psycho tropics, medicines, firearms, air rifle, sharp weapon, ammunition, explosive, pornographic materials/ publications;
• 4) in the form of cinematographic film, video tape containing record of video laser disc or laser disc; or
• 5) in the form of rupiah currency or foreign currency with the value amounting to Rp 100,000,000.00 (one hundred million rupiahs) or over.
• b. green lane, in the case of crew members not carrying the imported goods as described in a above.

(2) After receiving the notification as described in Article 16, customs and excise officials:

• a. shall issue approval of the release of goods in the case of passengers passing through green lane; or
• b. shall undertake physical inspection in the case of passengers passing through red lane.

(3) In the case of suspicion coming up, the authorized customs and excise officials shall undertake physical inspection of goods of passengers passing through the green lane.

Article 18

(1) In the case of result of the physical inspection as described in Article 17 paragraph (1) letter a finding that:

• a. the excisable goods exceeds the stipulated quantity, the excess of the excisable goods shall be destroyed directly with or without the presence of the passengers;
• b. the goods are forbidden or subject to import restriction, customs and excise officials shall take actions in accordance with the provisions in force;
• c. the customs value of the goods of crew members does not exceed the limit of exemption from import duty, the goods shall be exempt from import duty and not be subject to the collection of tax in the framework of the import in accordance with the provisions of taxation legislation in force.
• d. The customs value of the goods of crew members exceeds the limit of exemption from import duty, the goods shall be subject to the collection of import duty and tax in the framework of the import on the basis of the full customs value subtracted by the customs value securing the exemption from import duty.

(2) Customs and Excise officials shall record the result of physical inspection as described in paragraph (1) letter d and based on the result of the physical inspection, the customs and excise officials shall stipulate the customs value and tariff as well as count import duty and tax in the framework of the import in the sheet of CD.

(3) In the case of the conditions as described in paragraph (1) letters a, b, C and d being not found in the physical inspection of personal goods of the passengers, customs and excise officials shall issue approval of the release of the goods.

Article 19

(1) Crew members of carriers shall pay import duty and tax in the framework of the import on the basis of the stipulation as described in Article 18 paragraph (2) and shall be given payment form.

(2) After receiving the payment, customs and excise officials shall book data about personal goods of the passengers subject to import duty and tax in the framework of the import as contained in CD into the customs registry book.

Article 20

Customs and Excise officials shall issue the approval of release of goods of crew members after the crew members settle import duty and tax in the framework of the import as described in Article 18 paragraph (2) or on the basis of the physical inspection, the goods have been suitable to the limit of the value as described in Articles 16 and 17.

Part Three
Notification and Release of Goods of Cross Borderers

Article 21

(1) Every cross borderer carrying goods shall have KILB.

(2) KILB as described in paragraph (1) shall be issued by customs offices overseeing PPLB on the basis of application of the cross borderer.

(3) The application as described in paragraph (2) shall be submitted to the head of customs office accompanied by copy of citizenship identity card and PLB validated by local immigration official.

(4) In the case of the application as described in paragraph (2) already fulfilling the requirement as described in paragraph (3), the head of customs office shall issue KILB to the cross borderer ad BPBLB shall be made in accordance with specimen of the form as stipulated in Attachments I and II to this regulation.

Article 22

(1) Cross borderers arriving from outside the customs area by carrying luggage shall show KILB and notify the luggage to customs and excise officials in PPLB.

(2) Cross borderers failing to show KILB shall not be given facility in the form of exemption from import duty and shall be subject to collection of tax in the framework of the import as described in Article 12.

(3) After receiving KILB, customs and excise officials in PPLB:

• a. shall undertake physical inspection and mention result of the physical inspection into Inspection Note in accordance with specimen of format as stipulated in Attachment III to this regulation;
• b. shall take actions in accordance with the provisions in force in the case of result of physical inspection finding that the luggage is forbidden or subject to import restriction;
• c. shall stipulate the customs value and tariff of the goods in accordance with the provisions in force;
• d. shall stipulate the amount of import duty and tax in the framework of the importer which must be collected on the basis of the full customs value subtracted by the customs value securing the exemption from import duty in the case of result of the physical inspection finding that the customs value of the goods exceeds the provision as described in Article 8;
• e. shall issue approval of the release of goods in the case of result of the physical inspection finding that the customs value of the goods does not exceed the provision as described in Article 8.

(4) Cross borderers shall pay import duty and tax in the framework of the import on the basis of the stipulation as described in paragraph (3) and shall be given payment form.

(5) Customs and Excise officials shall issue approval of the release of goods after the import duty and tax in the framework of the import as described in paragraph (4) are settled.

(6) In the case of the misuse of facility of exemption from import duty and uncollected tax in the framework of the import being found the facility shall be revoked.

Part Four
Delivery Goods

Article 23

(1) The delivery goods shall be imported through post or PJT.

(2) Customs and Excise Officials shall apply custom audit to the delivery goods as described in paragraph (1).

(3) The customs audit as described in paragraph (2) shall cover examination of documents and physical inspection of goods.

(4) The physical inspection of goods as described in paragraph (3) shall be done selectively.

(5) In the case of the physical inspection of goods as described in paragraph (4) being executed the physical inspection shall be witnessed by officers of post or PJT.

(6) The delivery goods as described in paragraph (1) can be released after fulfilling the customs obligations and securing approval from customs and excise officials.

Part Five
Delivery Goods Through Post

Article 24

(1) Customs and Excise Officials shall stipulate the tariff and customs value as well as count import duty and tax in the framework of the import yet to be settled for delivery goods through post.

(2) The delivery goods through posts having their tariff and customs value already stipulated as described in paragraph (1) shall be given up to recipients of the delivery goods through post after import duty and tax in the framework of the import are settled.

Article 25

(1) The import of delivery goods through post shall be settled by PT Pos Indonesia (persero) and the Directorate General of Customs and Excise.

(2) The settlement as described in paragraph (1) shall cover the settlement of post packager duty settlement as well as supervision.

Part Six
Delivery Goods through Courier Service Providers

Article 26

(1) PJT planning to import delivery goods shall submit application to the Head of Customs Office in accordance with specimen of format as stipulated in Attachment IV to this regulation.

(2) Based on the application as described in paragraph (1), the head of customs office shall issue approval in accordance with specimen of format as stipulated in Attachment V to this regulation.

(3) PJT can import delivery goods after putting at stake cash guarantee, bank guarantee or customs bond with the amount stipulated by the head of customs office.

(4) Stipulation of the guarantee as described in paragraph (2) shall be done by observing the amount of import duty and tax in the framework of the import in the specified deferred payment period of delivery goods notified by PJT.

Article 27

(1) Delivery goods through PJT must meet the provision on the maximum weight of 100 (one hundred) kilograms per house airway bill (AWB).

(2) The exception from the provision on the delivery goods as described in paragraph (1) can be granted to:

• a. delivery goods destined to bonded collection places; or
• b. other delivery goods securing license from the Director General.

(3) General import provisions shall apply to delivery goods through PJT failing to meet the provision as described in paragraphs (1) and (2).

Article 28

(1) The release of goods through PJT shall be done after Certain Import Declaration (PIST) is submitted.

(2) PIBT as described in paragraph (1) shall be conveyed to customs office through electronic media or manually.

(3) Customs and Excise Officials shall stipulate tariff and customs value as well as count import duty and tax in the framework of the import which must be settled for delivery goods through PJT.

(4) The import duty and tax in the framework of the import shall be settled in not later than 3 (three) working days following the issuance of approval of the release of goods.

Article 29

(1) The release of delivery goods through PJT destined to bonded collection places shall abide by provisions on procedures for importing goods into the bonded collection place.

(2) The release of delivery goods through PJT subject to import restriction can be approved after the whole import requirements are fulfilled.

CHAPTER IV
STIPULATION OF TARIFF OF IMPORT DUTY

Article 30

Customs and Excise Officials shall stipulate tariffs of import duty on the import of personal goods of passengers, crew members of carriers and goods of cross borderers and delivery goods.

Article 31

(1) Stipulation of the tariff as described in Article 30 shall be based on tariff of import duty on the said goods.

(2) In the case of the imported goods as described in Article 30 being more than three kinds, customs and excise officials shall stipulate only one tariff of import duty on the basis of the highest tariff.

CHAPTER V
MISCELLANOUS

Article 32

With the enforcement of this regulation:

(1) Decree of the Minister of Finance No. 490/KMK.05/1996 concerning Procedures for Importing Goods of Passengers, Crew Members of Carriers, Cross Borderers, Post Delivery and Delivery through Courier Service Providers;

(2) Decree of the Minister of Finance No. 358/KMK.04/2001 concerning Exemption from Import Duty, Tax in the Framework of the Import and Excise on the Import of Goods of Passengers from Free Trade Area and Free Port Sabang into Other Indonesian Customs Areas; Shall be revoked and declared null and void.

Article 33

Technical provisions needed for implementing this regulation shall be regulated further by a regulation of the Director General.

CHAPTER VI
CONCLUSION

Article 34

The regulation shall come into force 30 (thirty) days as from the date of stipulation.

For public notice, the regulation shall be published in State Gazette of the Republic of Indonesia.

Stipulated in Jakarta
On August 30, 2007
THE MINISTER OF FINANCE
Signed
SRI MULYANI INDRAWATI