DIRECTORATE GENERAL OF CUSTOMS AND EXCISE
January 4, 2008

To:

• 1. Heads of Regional Offices
• 2. Heads of Primary Customs and Excise Service Offices
• 3. Heads of Customs and Excise Supervision and Service Offices within the Directorate General of Customs and Excise

CIRCULAR
No. SE-03/BC/2008

CONCERNING
CLEARANCE OF WASTE AND SCRAP

Based on Decree of the Minister of Finance No.291/KMK.05/1997 which had been changed several times, lastly by Finance Minister Regulation No. 101/PMK.04/2005, and Decision of the Director General of Customs and Excise No. KEP-63/BC/1997, and with regard to the letter of the Director General of Foreign Trade No. 1260/DAGLU/12/2007 dated December 28, 2007 concerning the removal of waste and scraps from Bonded Zones to Other Indonesian Customs Area (DPIL), and in the context of providing confirmation related with the clearance of waste and scraps of Business Communities in Bonded Zones (PDKB) to other Indonesia Customs Area, it is hereby informed of the following matters:

1. Basically, PDKB are entitled to clear up waste and scraps to DPIL by taking into account that the waste and scraps are residues of production processes taking place in Bonded Zones in the territory of Indonesia, and not waste and scraps imported directly from overseas.

2. Particularly for goods categorized as Hazardous and Toxic Substances, it may be cleared out of Bonded Zones to be recycled or destroyed by adhering to provisions/ regulations of the living environment.

3. Waste and scraps may be cleared out to DPIL by settling Import Duty, Value Added Tax, Value Added Tax for Luxurious Goods, Import Article 22 Income Tax to the extent it had fulfilled provisions of customs procedures in import.

Thus informed for the execution thereof with full responsibility.

THE DIRECTOR GENERAL
signed,
Anwar Suprijadi
NIP 120050332

Copies:

• 1. The Minister of Finance;
• 2. The Secretary General of the Ministry of Finance;
• 3. The Head of Legal Affairs Bureau of the Ministry of Finance;
• 4. The Secretary of the Directorate General of Customs and Excise;
• 5. Directors, Assessors and Heads of Boards within the Head Office of the Directorate General of Customs and Excise.