That in the framework of simplifying procedures for the granting of facility of exemption from excise on ethyl alcohol and implementing the provision of Article 17 of Regulation of the Minister of Finance No. 47/PMK.04/2007 on the Exemption from Excise, it is necessary to stipulate a regulation of the Director General of Customs and Excise on Procedures for Exempting from Excise on Ethyl Alcohol;
THE REGULATION OF THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE ON PROCEDURES FOR EXEMPTING FROM EXCISE ON ETHYL ALCOHOL
In this regulation, the meaning of:
The exemption from excise on ethyl alcohol used as raw material or auxiliary material in the production of end products is executed in accordance with the procedures as stipulated in Attachment I to this regulation.
The exemption from excise on ethyl alcohol used for the purpose of scientific research and development is executed in accordance with the procedures as stipulated in Attachment II to this regulation.
The exemption from excise on ethyl alcohol used for the social purpose is executed in accordance with the procedures as stipulated in Attachment III to this regulation.
(1) The exemption from excise on ethyl alcohol as described in article 2 is granted to manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol used by producers of end-products.
(2) In order to obtain the exemption from excise on ethyl alcohol as intended in paragraph (1), manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol submit applications to the Minister of Finance in this case the Director General through Heads of Service Offices overseeing factories of end-products.
(3) In case of ethyl alcohol coming from other countries, the applications as intended in paragraph (2) must mention the importing places of ethyl alcohol.
(4) The applications as intended in paragraph (2), for the first time, must be accompanied by:
(5) In case of the requirements for application which had already been fulfilled, a decision on the exemption from excise on ethyl alcohol is granted by the Director General, in this case the Director of Excise on behalf of the Minister of Finance.
(6) In the case that the requirements for application are not being fulfilled, the Director of Excise notifies applicants in writing to complete the shortcomings of requirements or improve the data about the application in not later than 10 (ten) days.
(7) If the period as intended in paragraph (6) had elapsed but the applicants do not complete the shortcomings of requirements or improving data about application, the Director General, in this case the Director of Excise would issue a letter of notification about rejectionwhich contains reasons for rejection.
(1) The exemption from excise on ethyl alcohol as described in article 3 is granted to manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol used by official government agencies/institutions.
(2) In order to obtain the exemption from excise on ethyl alcohol as intended in paragraph (1), manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol submit applications to the Minister of Finance, in this case the Director General, through Heads of Service Offices overseeing official government agencies/institutions.
(3) In case of ethyl alcohol which are coming from other countries, the application as intended in paragraph (1) must mention the importing place of the ethyl alcohol.
(4) The applications for exemption from excise as intended in paragraph (1), for the first time, must be accompanied by:
(5) In case of the requirements for application that had already been fulfilled, a decision on the exemption from excise on ethyl alcohol is granted by the Director General, in this case the Director of Excise on behalf of the Minister of Finance.
(6) In the case thatthe requirements for application that had not been fulfilled, the Director of Excise notifies applicants in writing to complete the shortcomings of requirements or improve data about the application in not later than 10 (ten) days.
(7) In the period as intended in paragraph (6) elapsing but the applicants not completing the shortcomings of requirements or improving data about application, the Director General, in this case the Director of Excise, issue a letter of notification about rejection, which contains reasons for rejection.
(1) The exemption from excise on ethyl alcohol as described in article 3 is granted to manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol used by hospitals.
(2) In order to obtain the exemption from excise on ethyl alcohol as intended in paragraph (1), manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol submit applications to the Minister of Finance, in this case the Director General, through Heads of Service Offices overseeing the hospitals.
(3) In case of ethyl alcohol coming from other countries, the application as intended in paragraph (1) must mention the importing place of the ethyl alcohol.
(4) The applications for exemption from excise as intended in paragraph (1), for the first time must be accompanied by:
(5) In the case that the requirements for application had already been fulfilled, a decision on the exemption from excise on ethyl alcohol is granted by the Director General, in this case the Director of Excise, on behalf of the Minister of Finance.
(6) In the case that the requirements for application had been fulfilled, the Director of Excise notifies applicants in writing to complete the shortcomings of requirements or improve data about the application in not later than 10 (ten) days.
(7) If the period as intended in paragraph (6) had elapsed but the applicants had yet to complete the shortcomings or requirements or improving data about application, the Director General, in this case the Director of Excise, shall issue a letter of notification about rejection, which contains reasons for rejection.
The period of examination and settlement of applications for exemption from excise is hierarchially stipulated:
(1) In order to ascertain the use of ethyl alcohol in the production of end-products, Heads of Service Offices can undertake laboratory analysis of the submitted samples of end-products.
(2) The laboratory analysis as intended in paragraph (1) is executed in places appointed by Heads of Service Offices.
The quantity of ethyl alcohol, which will be exempted, is counted by considering the production need, realization of the use of ethyl alcohol in the previous year or the permitted installed production capacity..
Decree on granting the exemption from excise on ethyl alcohol, is effective up to the end of the calendar year in the current year and cannot be transferred without approval of the Director General, in this case the Director of Excise, on behalf of the Minister of Finance.
(1) If there is insufficient quantity of ethyl alcohol obtained by producers of end products, heads of official government institutions/agencies or heads/executives of hospitals as users of ethyl alcohol under the facility of exemption from excise in the period of current year, the individuals can apply for additional order through manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol.
(2) The manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol submit applications for the addition to the exemption from excise on the basis of additional order from producers of end-products, heads of official government institutions/agencies or heads/executives of hospitals as users of ethyl alcohol under the facility of exemption from excise.
(3) Applications for the addition to the use of ethyl alcohol securing the exemption from excise as intended in paragraph (2) are submitted by means of:
(1) Factories of end products, heads of official government institutions/agencies or heads/executives of hospitals are given Exemption Identity Number (NPP), which serves as identity number/identity as users of ethyl alcohol under the facility of exemption from excise by the Director General, in this case the Director of Excise, on the behalf of the Minister of Finance.
(2) Producers of end products, heads of official government institutions/agencies or heads/executives of hospitals as users of ethyl alcohol under the facility of exemption from excise as intended in paragraph (1), are responsible for ethyl alcohol imported into their collection places.
(3) After the validity period of decision as the users of ethyl alcohol under the facility of exemption from excise ends, the remainder of ethyl alcohol still available in the collection places as intended in paragraph (2), may no longer be used before securing a decision as the new users of ethyl alcohol under the facility of exemption from excise, unless the license from service offices had been secured before the usage.
(1) Producers of end products, heads of official government institutions/agencies or heads/executives of hospitals as users of ethyl alcohol under the facility of exemption from excise must send monthly report on the use of ethyl alcohol to the Director General, in this case the Director of Excise, through Heads of Overseeing Service Offices, by using format:
(2) Manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol, which import ethyl alcohol under the facility of exemption must send monthly report to the Director General in this case the Director of Excise through Heads of Overseeing Service Offices about the delivery and/or sales of ethyl alcohol by using form LACK-9.
(3) The report as intended in paragraphs (1) and (2) must have been received by heads of the overseeing service offices in not later than the 10th every month.
(4) In the case that of the period as intended in paragraph (3) being not fulfilled, decision on the exemption from excise which had already been issued to companies can be reviewed.
(1) Manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol are obliged to calculate the balance of ethyl alcohol at the end of the year in the collection places of ethyl alcohol of factories of end-product, official government agencies/institutions or hospitals.
(2) The balance as intended in paragraph (1) constitutes part of the quota of exemption from excise on ethyl alcohol in the following year.
(3) Manufacturers, operators of collection places, operators of specially mixing collection places or importers of ethyl alcohol are prohibited from supplying ethyl alcohol under the facility of exemption from excise in the quantity exceeding the exemption quota granted, unless otherwise paying the excise.
(4) In the case that manufacturers, operators of collection places/operators of specially mixing collection places or importers of ethyl alcohol violating the provision as intended in paragraph (2) excise on the difference of alcohol exceeding the exemption quota must be paid.
Heads of Service Offices overseeing factories of end products, official government institutions/agencies or hospitals as users of ethyl alcohol under the excise exemption facility are obliged to monitor the import of ethyl alcohol coming from factories, special mixing collection places or bonded zones supplying ethyl alcohol in accordance with the quota of exemption used for every calendar year.
(1) Heads of Service Offices overseeing factories of end products/ official government institutions/agencies or hospitals as users of ethyl alcohol under the excise exemption facility are obliged to make supervisory book to record the import of ethyl alcohol securing the exemption from excise in accordance with the form contained in CK-l0, CK-ll and CK-17.
(2) Heads of Service offices overseeing factories/storage places, special mixing collection places or bonded zones supplying ethyl alcohol make supervisory book to record the release of ethyl alcohol securing the exemption from excise as contained in CK-l0, CK-ll and CK-17.
With the enforcement of this regulation, Decree of the Director General of Customs and Excise No. KEP-57/BC/2001 on Procedures for Exemption from Excise on Ethyl Alcohol as had already been amended by Decree of the Director General of Customs and Excise No. KEP-1O/BC/2004 is revoked and declared null and void.
The regulation comes into force as from June 1, 2007.
For public notice, the regulation shall be published in State Gazette of the Republic of Indonesia.
Stipulated in Jakarta
On May 31, 2007
THE DIRECTOR GENERAL
Signed
ANWAR SUPRIJADI
NIP 120050332
Attachment to DIRECTOR GENERAL OF CUSTOMS AND EXCISE REGULATION
No. P-13/BC/2007