to Indonesian
In the practice of current international customs, the handling of violations of customs provisions is more focused on fiscal settlement that is payment of an amount of money to the state in the form of fines. Such is the effect of the globalization era demanding the speeding up and expediting of the flow of goods for the international commerce progress. Therefore, Customs regulations are expected not to be obstacle to the development of trade.
In the Customs Law constituting a part of the Fiscal Law, several provisions regulated therein had been aligned with international customs practices based on international agreements and conventions in the area of customs and trade, among others provisions stating that the settlement of violations not serious in nature can be settled through the imposing of administrative sanctions.
Basically, the Customs Law adopts the principle of self-calculating and depositing of import duty or export duty indebted by the importer or exporter (self-assessment). The self-assessment system provides a great reliance on users of customs services. However, such reliance should be matched with responsibility, honesty, and compliance in the fulfillment of provisions of applicable legislations. In the event customs service users in the context of fulfilling customs obligations commit actions not in accordance with provisions of Customs Law, then the imposing of administrative sanctions shall be regulated on those committing such violations.
An administrative sanction is purported to restore state rights and to ensure compliance on rules expressly regulated in legislation provisions; therefore such administrative sanction must be a fiscal means executable effectively and efficiently. Since the administrative sanction is an obligation likely to be a burden for those being imposed of, its implementation should meet criteria that are transparent so that any uncertainty in the stipulation of said sanction can be prevented. To make its performance practicable, the authority of the Director General of Customs and Excise to stipulate administrative sanctions may be exercised by the Head of Customs Office on behalf of the Director General of Customs and Excise.
Self explanatory.
Self explanatory.
Letter a
Self explanatory.
Letter b
The imposing of the minimum up to the maximum fine adopts the principle of proportionality, i.e. the amount of fine imposed is influenced by the intensity of violations committed by the violator.
Letter c
Self explanatory.
Letter d
Self explanatory.
Letter e
Self explanatory.
Self explanatory.
Provisions on the method of stipulating fine on violation of Law known as administrative sanction in the form of minimum up to the maximum fine stated in Rupiah value, for example:
On July 15, an imported goods transporter committed the violation as intended in Article 8A paragraph (2) of Law, i.e. the amount of unloaded imported goods was less than those notified in customs notification, therefore based on Law shall be imposed of an administrative sanction in a minimum of Rp 25,000,000.00 (twenty five million Rupiah) and a maximum of Rp 250,000,000.00 (two hundred fifty million Rupiah).
To impose the administrative sanction in the form of fine on the above transporter, it is required to firstly know the number of violations committed by the transporter in the last six (6) months accounted for from the last violation in the Customs Office where the fulfillment of customs obligations shall be made. In this case, the last six (6) month period is the time from January 16 until July 15. If in such period, the transporter committed 3 (three) times violations, for example, it shall be imposed of fine in the amount of 5 (five) times the minimum fine, i.e. Rp 125,000,000.00 (one hundred twenty five million Rupiah).
Self explanatory.
In the execution of imposing administrative sanction in the form of fine on a violation of Article 10D paragraph (5) and paragraph (6) of Law, it is temporary import provided with import duty dispensation; the amount of fine shall be calculated based on the import duty which should be paid for the misused goods, for example:
In customs notification on the import of goods, import duty tariff is 10% (ten percent) and customs value is Rp 10,000,000.00 (ten million Rupiah). On such import, the importer got an import duty dispensation in the framework of temporary import, therefore shall pay 2% (two percent) monthly from the import duty which should be paid, with a term for the temporary import as of 1 (one) year (twelve months).
The importer committed the violation as intended in Article 10D paragraph (5) of Law, i.e. being late to re-export the temporary imported goods within the permitted period; therefore shall be imposed of an administrative sanction in the form of fine in the amount of 100% (one hundred percent) of the import duty which should be paid.
On such import, the importer is imposed of sanction to pay monthly import duty in the amount of 2% x Rp 1,000,000.00 = Rp 20,000.00 (twenty thousand Rupiah), therefore in 1 (one) year the importer must pay Rp 20,000.00 (twenty thousand Rupiah) x 12 = Rp 240,000.00 (two hundred forty thousand Rupiah).
The import duty which should be paid if the importer did not get an import duty dispensation is Rp 1,000,000.00 (one million Rupiah), therefore on the violation of the temporary import, the importer shall be imposed of sanction in the amount of 100% (one hundred percent) of the import duty which should be paid, it is Rp 1,000,000.00 (one million Rupiah).
Self explanatory.
Provisions on the method of stipulating fine on violation of Law known as administrative sanction in the form of minimum up to the maximum fine stated in a certain percentage from the shortage of import duty or export duty payment, for example:
In customs notification on the import of goods, the importer paid import duty on the goods it imported in the amount of Rp 1,000,000.00 (one million Rupiah) based on import duty tariff as of 10% (ten percent), and the customs value is Rp 10,000,000.00 (ten million Rupiah).
From audit results of Customs and Excise Official, it was found out that the value of the transaction is Rp 12,500,000.00 (twelve million five hundred thousand Rupiah). Therefore the import duty which must be paid should be Rp 1,250,000.00 (one million two hundred fifty thousand Rupiah), hence the importer is short in the payment of import duty as of Rp 250,000.00 (two hundred fifty thousand Rupiah) or 25% (twenty five percent) of the import duty already paid or Rp 250,000.00 (two hundred fifty thousand Rupiah) divided by Rp 1,000,000.00 (one million Rupiah).
Based on provisions regulated in Article 16 paragraph (4) of Law, on the fault of customs notification constituting a shortage in the payment of import duty, the importer is imposed of an administrative sanction in the form of fine in a minimum of 100% (one hundred percent) and a maximum of 1000% (one thousand percent) of the shortage of import duty.
In the above case, the shortage of import duty payment is 25% (twenty five percent) of the import duty already paid, therefore the administrative sanction in the form of fine imposed on the importer is 100% (one hundred percent) of the shortage of import duty payment, it is Rp 250,000.00 (two hundred fifty thousand Rupiah)
Self explanatory.
What is meant by ‘Import Duty which must be Paid’ (BMSDB) is the amount of import duty being released or provided with dispensation.
Example:
In the customs notification on imported goods, an importer imported 15 (fifteen) units of “Z” goods at a CIF price of US$ 20.00 per unit.
On the “Z” goods, the import duty imposed is 15% (fifteen percent). The importer requested for import duty dispensation, and received it; therefore the final tariff becomes 5% (five percent). From audit results of Customs and Excise Official, it was found out that the importer sold 5% (five) units of the 7 goods.
At the time of import, the base value of the import duty calculation (NDPBM) is US$ 1.00 = Rp 10,000.00. Thus the calculation of the administrative sanction in the form of fine is as follows:
Therefore, the importer shall be imposed of an administrative sanction in the form of fine as of Rp 200,000.00 (two hundred thousand Rupiah)
On violations due to not fulfilling provisions of Law, the administrative sanction in the form of fine can be imposed of. In case the fine where its base calculation is the percentage of import duty shortage, however the import duty on the goods being violated, its tariff or final tariff is 0% (zero percent), then the sanction imposed of shall not be proportional any more, but based on value unit in rupiah is Rp 5,000,000.00 (five million rupiah).
The shortage of payment causing fine on goods borne with 0% (zero percent) shall be imposed of for just 1 (once) for 1 (one) customs notification on the import of goods, on condition that on the customs notification on the import of goods, there are no other imported goods imposed with fine. In case in the customs notification on the import of goods there are other imported goods which should be fined, then the amount of fine shall be calculated based on the fine for such other imported goods.
The imposing of the administrative sanction as intended in Article 10A paragraph (8), Article 11A paragraph (6), Article 45 paragraph (3) Article 52 paragraph (1) and paragraph (2) of Law found out during audit, shall be imposed of fine as of 1 (one) time when the violation is found out, for example in an audit, the same violation was found more than once; therefore the imposed sanction shall be calculated as 1 (one) violation.
The imposing of an administrative sanction should be stipulated with a stipulation letter to provide justice for the party imposed of administrative sanction, so that he/she clearly understands the provisions being violated. If the party concerned objected the imposing of such administrative sanction, he/she can submit an objection to the Director General of Customs and Excise the procedure thereof shall be exercised in accordance with Law.
Self explanatory.
Self explanatory.
SUPPLEMENT TO STATUTE BOOK OF THE REPUBLIC OF INDONESIA No. 4838