MINISTRY OF FINANCE OF REPUBLIC OF INDONESIA
REGULATION OF DIRECTOR GENERAL OF CUSTOMS AND EXCISE
No. P-10/BC/2007

CONCERNING
TECHNICAL DIRECTIVES FOR SETTLEMENT OF CUSTOMS LIABILITIES TO MOTORCYCLE AND CRUISE SHIPS, INCLUDING YACHTS, WHOSE CUSTOMS LIABILITIES HAVE NOT BEEN SETTLED UPON THE IMPORT INTO THE INDONESIAN CUSTOMS AREA

THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE,

Attachment

Considering:

• a. that in the framework of law enforcement and granting a sense of justice to the public at large, goods characteristically having high economic value in the form of motorcycle with a cylinder capacity of above 250 cc and cruise ships, including yachts whose customs liabilities which had not been settled upon the import into the Indonesian Customs Area are to be subject to firm disciplining in accordance with the provisions in force;
• b. that the disciplining starts from fiscal approach by opening opportunity for the owners of the goods as described in a above to settle the customs liabilities by means of paying fully Import Duty and Taxes in the Framework of the Import;
• c. that based on approval of the President of the Republic of Indonesia, the Minister of Finance instructs the Director General of Customs and Excise to prepare technical directives for the settlement of customs liabilities by fiscal approach in a definite period;
• d. that based on the considerations as intendedintended in paragraphs a, b, and c, it is necessary to stipulate a regulation of the Director General of Customs and Excise on Technical Directives for Settlement of Customs Liabilities to Motorcycle and Cruise Ships, Including Yachts whose customs liabilities have not been settled upon the import into the Indonesian Customs Area;

In view of:

• 1. Law No. 10/1995 concerning Customs Affairs (Statute Book of 1995 No. 75, Supplement to Statute Book No. 3612) as already amended by Law No. 17/2006 (Statute Book of 2006 No. 93, Supplement to Statute Book No. 4661);
• 2. Decree of the Minister of Finance No. 101/KMK.05/1997 on Customs Declaration;
• 3. Decree of the Minister of Finance No. 453/KMK.04/2002 on Customs Procedures in the Import Field as had already been amended several times and by the latest Decree of the Minister of Finance No. 112/KMK.03/2003;
• 4. Letter of the Minister of Finance No. S-167/MK.04/2007 dated April 19, 2007 on Settlement of Customs Liabilities to Cruise Ships, including Yachts, Large Motorcycle; Luxury Wristwatch, Jewelry and other popular branded goods whose customs liabilities have not been settled upon the import into the Indonesian Customs Area by Fiscal Approach;

HAS DECIDED:

To stipulate:

DIRECTOR GENERAL OF CUSTOMS AND EXCISE REGULATION CONCERNING TECHNICAL DIRECTIVES FOR SETTLEMENT OF CUSTOMS LIABILITIES TO MOTORCYCLE AND CRUISE SHIPS, INCLUDING YACHTS, WHOSE CUSTOMS LIABILITIES HAVE NOT BEEN SETTLED UPON THE IMPORT INTO THE INDONESIAN CUSTOMS AREA

Article 1

(1) Customs liabilities to motorcycle with a cylinder capacity exceeding 250 cc and cruise ships, including yachts, which have not been settled upon the import into the Indonesian customs area shall be settled.

(2) The customs liabilities as intendedintended in paragraph (1) shall be settled by paying fully import duty and taxes in the framework of the import.

Article 2

(1) Owners of motorcycle with a cylinder capacity exceeding 250 cc and cruise: ships, including yachts or their proxies shall submit applications for the settlement of customs liabilities to the Director General of Customs and Excise attn. the Director of Customs Technical Affairs in accordance with specimen as stipulated in Attachment to this regulation by obtaining receipt form.

(2) In case of motorcycle having a cylinder capacity above 250 cc, the applications as intendedintended in paragraph (1) shall be enclosed by:

• a. copy of identity card (KTP) of the owner
• b. copy of taxpayer code No.(NPWP);
• c. the inspection protocol (BAP) as described in article 3;
• d. statement of ownership according to specimen stipulated in Attachment II-a to this regulation; and
• e. power of attorney, in case of the settlement being authorized to other party.

(3) In case of cruise ships, including yachts, the applications as intended in paragraph (1) shall be enclosed by:

• a. identity card of owner (KPT/passport);
• b. copy of NPWP;
• c. identity of ship, among others are name of ship, builder certificate and bill of sale that had already been legalized by the notary;
• d. licenses that had already obtained from institutions concerned, such as sailing license from the Directorate General of Sea Transportation;
• e. the inspection protocol (BAP) as described in article 3;
• f. statement of ownership according to specimen stipulated in Attachment II-b to this regulation; and
• g. power of attorney, in case of the settlement being authorized to other party.

Article 3

(1) Before submitting the applications for settlement as described in article 2 paragraph (1), owners of motorcycle with a cylinder capacity above 250 cc. and cruise ships, including yachts or their proxies, shall submit applications for physical inspection to:

• a. the Director of Customs Technical Affairs; or
• b. Heads of Customs and Excise Service Offices nearest to the location of goods.

(2)Results of the physical inspection as intended in paragraph (1) shall be mentioned in Inspection Protocol (BAP) according to specimen stipulated in Attachment III to this regulation.

Article 4

(1) The applications as described in article 2 paragraph (1) shall be processed as long as they are received on June 1, 2007 up to December 31, 2007.

(2) In case of the applications as described in article 2 paragraph (2) that are not submitted by December 31,2007, action shall be taken against the motorcycle with a cylinder capacity above 250 cc and cruise ships, including yachts, in accordance with the provisions of legislation in force.

Article 5

(1) Based on the applications as described in article 2 paragraph (1), decree of the Director General of Customs and Excise on the granting of license to settle customs liabilities, which is signed by the Director of Customs Technical Affairs on behalf of the Director General of Customs and Excise according to the specimen stipulated in Attachment IV to this regulation shall be issued.

(2) Classification, import charge and the customs value as well as the amount of import duty and taxes in the framework of the import, which must be settled, shall be stipulated in the decree of the Director General as intended in paragraph (1).

(3) The customs value shall be stipulated by using price database at the Directorate General of Customs and Excise, selling value of motor vehicle stipulated in a decree of the Minister of Home Affairs or other accountable price data.

(4) Classification and import charge shall be stipulated on the basis of the Indonesian Customs Tariff Book effective upon the stipulation.

Article 6

Owners or proxies shall: submit Import Declaration (PIB) manually, along with the payment form of import duty and taxes in the framework of the import to the appointed Customs and Excise Service Offices (KPBC), namely:

• a. in case of motorcycle with a cylinder capacity exceeding 250 cc, KPBC Medan, KPBC Batam, KPBC Pekan Baru, KPBC Jakarta, KPBC Bandung; KPBC Tanjung Emas, KPBC Tanjung Perak, KPBC Ngurah Rai, KPBC Balikpapan or KPBC Makassar; and
• b. in case of cruise ships, including yachts, KPBC Belawan, KPBC Batam, KPBC Tanjung Priok I, KPBC Tanjung Emas, KPBC Tanjung Emas, KPBC Tanjung Perak, KPBC Benoa, KPBC Balikpapan, KPBC Bitung or KPBC Makassar.

Article 7

(1) The import duty and taxes in the framework of the import shall be settled through perception foreign exchange banks/post offices.

(2) The settlement as intended in paragraph (1) shall be realized in not later than 60 (sixty) days as from the date of issuance of the Decree of the Director General of Customs and Excise as described in article 5 paragraph (1).

(3) In case of the import duty and taxes in the framework of the import that is yet to be settled until the stipulated deadline as intended in paragraph (2), the owners shall be subject to an interest as high as 2% (two percent) of the import duty and taxes in the framework of the import every month and part of month is counted one month with the settlement in no later than April 30, 2008.

(4) In case of the decree of the Director General of Customs and Excise as intended Article 5 paragraph (1) had already been issued to motorcycle having a cylinder capacity above 250 cc and cruise ships, including yachts, and the customs liabilities being not yet settled up to April 30, 2008, the decree shall be declared null and void and further settlement shall be done by taking action in accordance with legislation in force.

Article 8

(1) Heads of KPBC where PIB is submitted or the appointed official shall issue Form A to motorcycle having a cylinder capacity above 250 cc in case of the customs liabilities being already settled.

(2) Form A shall be distributed on the basis of the provisions in force.

Article 9

Procedures for settlement of customs liabilities to motorcycle having a cylinder capacity above 250 cc and cruise ships, including yachts shall be as stipulated in Attachment V to this regulation.

Article 10

The motorcycle with a cylinder capacity of above 250 cc, which results from the assembly of spare parts of different producers (modification/customization), shall secure recommendation from the Ministry of Industry about Identification of the motorcycle.

Article 11

(1) Heads of KPBC where the customs liabilities are settled shall report the realization of settlement of customs liabilities to the Director of Customs Technical Affairs every month.

(2) The Director of Customs Technical Affairs shall report the realization of settlement of customs liabilities to the Director General.

Article 12

The regulation shall come into force as from June 1 up to April 30, 2008.

Stipulated in Jakarta
On May 11,2007
THE DIRECTOR GENERAL
Signed
ANWAR SUPRIJADI
NIP 120050332

Attachment to REGULATION OF DIRECTOR GENERAL OF CUSTOMS AND EXCISE
No. P-10/BC/2007