DECISION OF THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE
No. KEP-21/BC/1997

ON
APPROVAL OF THE CUSTOMS VALUE DECLARATION BEFORE THE
SUBMISSION OF PIB

THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE,

Attachment

Considering:

that to implement Decree of the Minister of Finance No. KEP-25/KMK.05/1997 dated January 15, 1997 on the custom procedure in the import sector, provisions on the approval of customs value declaration before the submission of PIB needs to be laid down in a decision of the Director General of Customs and Excise.

In view of:

• 1. Law No. 10/1995 on customs affairs (Statute Book of 1995 No. 75, Supplement to Statute Book No. 3612);
• 2. Decree of the Minister of Finance No. KEP-690/KMK.05/1996 dated December 18, 1996 on the customs value for the calculation of import duty;
• 3. Decree of the Minister of Finance No. KEP-25/KMK.05/1997 dated January 15, 1997 on the customs procedure in the import sector;
• 4. Decision of the Director General of Customs and Excise No. KEP-14/BC/1997 dated February 21, 1997 on the model of customs value declaration form and the procedure for completing it;
• 5. Circular of the Director General of Customs and Excise No. SE-11/BC/1997 dated February 24, 1997 on the implementation directives for the determination of the customs value of imported goods.

DECIDES:

To Stipulate:

DECISION OF THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE CONCERNING APPROVAL OF THE CUSTOMS VALUE DECLARATION BEFORE THE SUBMISSION OF PIB

Article 1

The approval of customs value declaration before the submission of PIB shall be the approval of the method of calculating the customs value of imported goods based on the transaction value or relevant goods (method I) that the importer proposes before submitting PIB.

Article 2

The approval as meant in Article 1 shall be granted to the importer who several times imports goods with the stipulation that the goods it imports any time meet the following requirements:

• a. the imported goods are the same type ;
• b. the requirements of trade transactions are the same;
• c. the transaction value of each unit of imported goods is the same; and
• d. the seller/exporter is the same.

Article 3

(1) To obtain the approval as meant in Article 1, the importer shall file an application to the Director General of customs and Excise by using a form as meant in Attachment I to this decision which is sent directly, or by mail or by facsimile.

(2) The Importer shall fill out the application as meant in paragraph (1) according to the procedure as meant it attachment II to this decision, complete with documents related to trade transactions and relevant imported goods Including:

• a. purchase negotiation document;
• b. purchase order;
• c. sales contract;
• d. letter of credit (in case of import with letter of credit);
• e. invoice;
• f. agreement on the payment of certain expenses added to the actual price or the price that has to be paid as meant in Article 3 of Decree of the Minister of Finance No. KEP-690/KMK.05/1996 dated December 18 1996 on the customs value used for calculating import duty, such as contract for the appointment of agent agreement on payment of royalties or proceeds;
• g. B/L or AWB; and
• h. insurance police.

(3) The application as meant in paragraph (1) shall be made in one copy for any type of goods to be imported.

Article 4

(1) The Director General of Customs and Excise or the authorized official shall decide on whether or not to approve the method of calculating the customs value of imported goods stated in the application for the approval of customs value declaration before the submission of PIB as meant in Attachment I to this decision.

(2) If the application is approved, the Director General of Customs and Excise or the authorized official shall issue the no. of approval of customs value declaration that the importer must put in each PIB of the relevant imported goods.

(3) The approval as meant in paragraph (2) shall be valid for a maximum of 1 (one) years starting the date of signing.

(4) If the application is not approved, it shall be returned complete with the reasons for the rejection.

Article 5

The type of goods stated in PIB complete with a letter of approval as meant in Article 4 shall not be subject to an audit and examination of the proper customs value by the official of the Directorate General of Customs and Excise at the Customs Office of the port of entry.

Article 6

The approval as meant in Article 4 shall not be valid in case of changes in the condition as required in Article 2.

Article 7

This decision shall begin to take effect on April 1, 1997.

Stipulated in Jakarta
On March 20, 1997
THE DIRECTOR GENERAL,
sgd
SOEHARDJO

Attachment of DECISION OF THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE
No. KEP-21/BC/1997