REGULATION OF THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE
No. P-28/BC/2008

CONCERNING
PROCEDURES TO GIVE GOVERNMENT BORNE IMPORT DUTY FACILITY ON THE IMPORT OF GOODS AND MATERIALS BY SORBITOL PRODUCTION INDUSTRY IN BUDGET YEAR 2008

DIRECTOR GENERAL OF CUSTOMS AND EXCISE,

Considering:

• a. that based on Regulation of the Minister of Finance of the Republic of Indonesia No. 148/PMK.011/2008, on the import of Goods and Materials by Sorbitol Production Industry get Government Borne Import Duty facility;
• b. that to optimize and to give services in implementation government borne import duty as intended in paragraph a, it is necessary to decides procedures to implement it.
• c. that based on considerations as intended in paragraph a and b, it is necessary to stipulate Regulation of the Director General of Customs and Excise concerning Procedure to Give Government Borne Import Duty Facility on the Import of Goods and Materials by Sorbitol Production Industry in Budget Year 2008;

In View of:

• 1. Law No. 10/1995 concerning Customs (Statute Book No. 75/1995, Supplement to Statute Book No. 3612) as amended by Law No. 17/2006 (Statute Book No. 93/2006, Supplement to Statute Book No. 4661);
• 2. Law No. 17/2003 concerning State Finance (Statute Book No. 47/2003, Supplement to Statute Book No. 4286);
• 3. Law No. 1/2004 concerning State Treasury (Statute Book No. 5/2004, Supplement to Statute Book No. 4355);
• 4. Law No. 45/2007 concerning State Budget of Revenue and Expenses (APBN) of Fiscal Year 2008 (Statute Book No. 133/2007, Supplement to Statute Book No. 4778) as amended by Law No. 16/2008 concerning Amendment to Law No. 45/2007 concerning State Budget of Revenue and Expenses (APBN) of Fiscal Year 2008 (Statute Book No. 63/2008, Supplement to Statute Book No. 4848);
• 5. Presidential Decree No. 20/P/2005;
• 6. Regulation of the Minister of Finance No. 100/PMK.01/2008 concerning Organization and Working Procedure of the Ministry of Finance;
• 7. Regulation of The Minister of Finance No. 134/PMK.011/2008 concerning Government Borne Import Duty on the Import of Goods and Materials for the Manufacture of Goods and/or Services to Serve the Public Interests and Improve the Competitive Edge of Industries in Certain Sectors for Budget Year 2008;
• 8. Regulation of the Minister of Finance of the Republic of Indonesia No. 148/PMK.011/2008 concerning Government Borne Import Duty on the Import of Goods and Materials by Sorbitol Production Industry in Budget Year 2008:

HAS DECIDED:

To stipulate:

REGULATION OF THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE CONCERNING PROCEDURES TO GIVE GOVERNMENT BORNE IMPORT DUTY FACILITY ON THE IMPORT OF GOODS AND MATERIALS BY SORBITOL PRODUCTION INDUSTRY IN BUDGET YEAR 2008

Article 1

In this Regulation of the Director General of Customs and Excise:

• 1. The Government Borne Import Duty is import duty shall be borne by the Government with a budget ceiling of Rp. 470,000,000,000 (four hundred seventy billion rupiahs) based on Article 2 paragraph (2) of Regulation of the Minister of Finance No. 148/PMK.011/2008.
• 2. Companies are company in industry engaged to produce Sorbitol.
• 3. Goods and materials are goods and materials as intended in Attachment to Regulation of the Minister of Finance No. 148/PMK.011/2008.
• 4. Customs Office is Customs and Excise Primary Service Office (KPU), Customs and Excise Medium Control and Service Office, Customs and Excise Control and Service Office.

Article 2

(1) On the import of Goods and Materials by Sorbitol Production Industry get Government Borne Import Duty facility.

(2) To obtain the Government Borne Import Duty as intended in paragraph (1), companies shall file application to Director General of Customs and Excise with attention Director of Customs Facility use format as intended in Attachment I to this Regulation of the Director General.

(3) Application as intended in paragraph (2), shall contains the following documents:

• a. Copy of Customs Identity Number (NIK);
• b. Copy of Taxpayer Code Number (NPWP);
• c. Copy of Importer's Identity Number (API-P/APIT);
• d. Original of Plan to import Goods already approved and validated by The Director General of Agro and Chemical Industry, Ministry of Industry use format as intended in Attachment II to this Regulation of the Director General, attached with data in softcopy; and
• e. Copy Business License that is legalized by authority agency or by show original document to Customs and Excise Official.

Article 3

(1) Director of Customs Facility shall check application as intended in Article 2 paragraph (2).

(2) In case application is not complete, Director of Customs Facility in no later than 7 (seven) days since receive application give written notification to the applicant to complete require data.

(3) If within 14 (fourteen) days as of the date of notification as intended in paragraph (2), applicant fails to fully comply with the requirements, the application shall not be further processed.

(4) The Director of Customs Facility shall approve or reject the application as intended in Article 2 paragraph (2) no later than 14 (fourteen) days after the application have been received in a complete manner.

(5) In case the application is approved, Director of Customs Facility on behalf of the Minister of Finance shall issue Decision of the Minister of Finance concerning Government Borne Import Duty on the Import of Goods and Material by Sorbitol Production Industry in Budget Year 2008.

(6) In case the application is rejected, Director of Customs Facility on behalf of the Minister of Finance shall issue rejection letter and state the reason of rejection.

(7) Decision of the Minister of Finance as intended in paragraph (5) is valid until December 31, 2008.

Article 4

(1) Decision of the Minister of Finance concerning Government Borne Import Duty Facility as intended in Article 3 paragraph (5) can be changed.

(2) To change Decision of the Minister of Finance as intended in Article 3 paragraph (5), company propose Changing Proposal to Director General of Customs and Excise with attention to Director of Customs Facility and state the reason of changing.

(3) Changing as intended in paragraph (1) not valid for goods and materials were imported.

(4) In case changing as intended in paragraph (1) related with RIB data, proposal should be attached with Changing of RIB that is approved and legalized by Director General of Agro and Chemical Industry, Ministry of Industry.

(5) Director of Customs Facility gives approval or rejection for the application as intended in paragraph (2).

(6) In case proposal of changing is approved, approval to change is given in Decision of the Minister of Finance.

(7) In case proposal is rejected, Director of Customs Facility on behalf of the Minister of Finance issue rejection letter and states the reason of rejection.

Article 5

(1) To process customs procedures of imported goods that get Import Duty Borne by the Government facility as intended in Article 2 paragraph (1), Company shall submit Notification of Imported Goods by state Import Duty should be paid in heading of kind of levy in "Government Borne" column.

(2) Notification of Imported Goods as intended in paragraph (1) shall be completed with:

• a. Customs, Excise and Tax in Import Payment Slip (SSPCP), in case there is any levy should be paid;
• b. Other customs complement documents follows effective regulations; and
• c. Decision of the Minister of Finance concerning Get Import Duty Borne by the Government facility as intended in Article 3 paragraph (5) and/or in Article 4 paragraph (6).

(3) Obligations as intended in paragraphs (1) and (2) also valid for companies that get Main Partner (MITA) facility.

(4) Customs Office that process customs obligations put "IMPORT DUTY PAID BY THE GOVERNMENT BASED ON PMK NO. 148/PMK.011/2008" stamp, name, NIP and sign of customs and excise official in duty that is appointed by Head of Customs Office, on all pages of Notification of Imported Goods and SSPCP.

(5) Stamp as intended in paragraph (4) use format as decided in Attachment III of this Regulation of the Director General.

(6) Notification of Imported Goods as intended in paragraph (4) shall be used as the basis for the recording of receipts from government borne import duty and allocated as expenditure of tax subsidy in the same amount.

Article 6

(1) Customs Office that process customs obligations as intended in Article 5 paragraph (4) should:

• a. Check and reduce mater list of government borne import duty;
• b. Make special bookkeeping and administration of government borne import duty PIB; and
• c. Make report to Director General with attention to Director of Customs and Excise Receiving and Regulation with copy to Director of Customs Facility no later than 5 of the following month.

(2) Report as intended in paragraph (1) c, use format as decided in Attachment IV of this Regulation of the Director General.

Article 7

(1) The goods and material imported by the companies as intended in Article 2 paragraph (1):

• a. shall be used by the relevant companies;
• b. shall not be transferred to other party;

(2) The companies abusing provisions in paragraph (1) shall pay actual import duties plus 2% (two percent) interest per month for a maximum of 24 (twenty four) months since the import as intended in Article 5 paragraph (1) is realized.

(3) The goods and material imported by the companies as intended in Article 2 paragraph (1), if restricted or limited to import procedures, those provisions should be fulfilled at the imported of those goods and materials.

Article 8

The company obtaining Government Borne Import Duty Facility as intended in Article 2 paragraph (1) should:

• 1. Make accounting about imported goods and material for audit in Customs.
• 2. Store and keep on documents, notes, and accounting related with Government Borne Import Duty facility in its business place for 10 years.
• 3. Submit report of import realization of goods and materials to Director General of Customs and Excise with attention Director of Audit.

Article 9

(1) The proposal of Government Borne Import Duty as intended in Article 2 paragraph (2) cannot be given approval to release imported goods with pending payment of import duty and tax in import (Vooruitslag).

(2) On imported goods and material that paid import duty, cannot get restitution.

Article 10

This Regulation of the Director General shall come into force as from the date of stipulation and be valid until December 31, 2008.

For public cognizance, this Regulation of The Director General shall be announced by placing it in the State Gazette of the Republic of Indonesia.

Stipulated in Jakarta
on November 7, 2008
THE DIRECTOR GENERAL
signed,
ANWAR SUPRIJADI
NIP 120050332