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REGULATION OF THE MINISTER OF FINANCE
No. 62/PMK.04/2011

CONCERNING
THE SETTLEMENT OF GOODS ARE DECLARED AS UNCONTROLLED, GOODS ARE DECLARED AS CONTROLLED BY THE STATE, AND GOODS ARE DECLARED AS THE STATE'S PROPERTY

BY GRACE OF THE ALMIGHTY GOD,
THE MINISTER OF FINANCE,

Considering:

a. that based on provisions in Article 65, Article 66, Article 67 of Law No. 10/1995 concerning Customs as amended by Law No. 17/2006, are governed provisions on the settlement of goods are declared as uncontrolled;

b. that based on provisions of Article 68, Article 69, Article 70, Article 71, Article 72 of Law No. 10/1995 concerning Customs as amended by Law No. 17/2006, are governed provisions on the settlement of goods are controlled by the state;

c. that based on the considerations as intended in paragraphs a and b, and in the framework to implement the provisions of Article 73 paragraph (3) of Law No. 10/1995 concerning Customs as amended by Law No. 17/2006, it is necessary to stipulate Regulation of the Minister of Finance concerning Settlement of Goods are Declared as Uncontrolled, Goods are Declared as Controlled by the State, and Goods are Declared as the State's Property;

In view of:

1. Law No. 10/1995 concerning Customs (Statute Book of the Republic of Indonesia No. 75/1995, Supplement to Statute Book of the Republic of Indonesia No. 3612) as amended by Law No. 17/2006 (Statute Book of the Republic of Indonesia No. 93/2006, Supplement to Statute Book of the Republic of Indonesia No. 4661);

2. Presidential Decree No. 56/P/2010;

3. Regulation of the Minister of Finance No. 70/PMK.04/2007 concerning Customs Zone and Temporary Piling Place;

DECIDED:

To stipulate:

REGULATION OF THE MINISTER OF FINANCE CONCERNING THE SETTLEMENT OF GOODS ARE DECLARED AS UNCONTROLLED, GOODS ARE DECLARED AS CONTROLLED BY THE STATE, AND GOODS ARE DECLARED AS THE STATE'S PROPERTY

CHAPTER I
GENERAL PROVISIONS

Article 1

In this Ministerial Regulation:

1. Customs Law is Law No. 10/1995 concerning Customs as amended by Law No. 17/2006.

2. Goods are Declared Uncontrolled hereinafter called as BTD are:

• a. goods are not removed from the Temporary Piling Place in port area within 30 (thirty) days since they were piled;
• b. goods are not removed from the Temporary Piling Place in outside of port area within 60 (sixty) days since they were piled;
• c. goods are not removed 30 (thirty) days since they were piled from the Temporary Piling Place that its permit is revoked; or
• d. goods are sent by the mail:
• 1) which was rejected by the addressee or the intended person and can not be sent back to senders outside the Customs Area;
• 2) with destination to outside of the Customs Area which are received back as rejected or cannot be delivered to the addressee and are not settled by the sender within 30 (thirty) days since of receipt of notice from the Post Office.

3. Goods are controlled by the State hereinafter called as BDN are:

• a. prohibited or restricted goods to be imported or exported are not notified or are not properly notified in the Customs Notification;
• b. goods and/or transportation means are blocked by Customs and Excise Official; or
• c. goods and/or transportation means are left in the Customs Area by an unknown owner.

4. Goods are declared as the State's Property hereinafter called as BMN are:

• a. BTD which are goods that are prohibited to be exported or imported, except against the goods are stipulated another by regulations;
• b. BTD which are goods that are restricted to be exported or imported, which was not settled by the owner within 60 (sixty) days since were stored in Customs Piling Place or other places have function as Customs Piling Place.
• c. goods and/or transportation means are blocked by Customs and Excise Officials from the crime that the culprit is not known;
• d. goods and/or transportation means abandoned in the Customs Area by an unknown owner that is not settled within 30 (thirty) days since are piled in Customs Piling Place or other place that are functioned as Bonded Piling Place;
• e. BDN which are goods that are prohibited or restricted to be imported or exported; or
• f. goods and/or transportation means which are based on the decision of the judge who has had permanent legal force, declared confiscated to the state.

5. Customs Record Book is a book, form, or recorded on electronic media that are used in the administration of Customs Notification, used for the accomplishment of customs obligations.

6. Temporary Piling Place, hereinafter abbreviated as TPS is building and/or field or other such place in the Customs Area for stockpiling of goods while waiting loading or removing.

7. Bonded Piling Place, hereinafter abbreviated as TPB is a building, place, or area that meets certain requirements that are used to pile, process, display, and/or provide goods to be sold by obtain the suspension of import duties.

8. Customs Piling Place hereinafter abbreviated as TPP is a building and/or field or other such place that provided by the government at the Customs Office under the management of the Directorate General of Customs and Excise to store BTD, BDN, and BMN based on Customs Law.

9. Auction is the sale of goods that are open to the public with a price quote in writing and/or oral that the increased or decreased to achieve the highest price that preceded the announcement of the auction.

10. Assessment is process of selective research activities are based on data/facts are objective and relevant by using of specified methods/techniques to obtain the value of state property.

11. Lowest Prices is the lowest price that must be achieved in a public auction.

12. Destruction is an activity to eliminate the initial form and intrinsic of an item.

13. Grants are transfers of ownership BTD, BDN and/or BMN from central to local government or to another party without obtaining reimbursement.

14. Prohibition or Restriction goods are goods that are prohibited or restricted to be entered or released into or from the Customs Area.

15. Minister is the Minister of Finance.

16. Director General is the Director General of Customs and Excise.

17. Customs Office is an office within the Directorate General of Customs and Excise where fulfillment of customs obligation in accordance with the provisions of Customs Law.

18. Customs and Excise Officials are employees of the Directorate General of Customs and Excise in certain positions designated to carry out certain duties based on Customs Law.

19. Taxes In the Framework of Import is a Value Added Tax, Sales Tax on Luxury Goods, and/or Article 22 Income Tax (PPh).

CHAPTER II
GOODS ARE DECLARED AS UNTROLLED

Article 2

(1) Determination of BTD conducted by the Head of Customs Office or officials assigned by stating the list of BTD.

(2) Anyone who has been designated as BTD as intended in paragraph (1) be recorded in the Customs Record Book of the BTD.

(3) BTD that was recorded as intended in paragraph (2), stored in the TPP or other places that has function as TPP and collected rent warehouse.

(4) Customs and Excise Official shall notify in writing to the owner of the goods to settle the customs obligation associated with the BTD, within 60 (sixty) days after piled in the TPP or other place that have function as TPP.

Article 3

(1) BTD as intended in Article 2 paragraph (1) that:

• a. rotten, immediately destroyed;
• b. because the characteristics of:
• 1) does not last long, among other fast decay, such as fresh fruit and fresh vegetables;
• 2) damage, including sulfuric acid and sulfur;
• 3) dangerous; or
• 4) the management is costly,
• be auctioned by notifying in writing to the owner, along not constitute a prohibited and/or restricted goods for import or export.

(2) BTD are prohibited goods to be imported or exported, declared as BMN, except against those goods stipulated other based on regulations.

Article 4

(1) BTD are restricted goods to be imported or exported, given the chance to be settled by the owner within 60 (sixty) days after be piled in the TPP or other place that have function as TPP.

(2) BTD that are not settled of customs obligation within period of 60 (sixty) days after be piled in the TPP or other places that have function as TPP, other than goods as intended in Article 3 and goods as intended in paragraph (1), set to be auctioned by the Head of Customs Office.

(3) BTD which have been set to be auctioned as intended in paragraph (2), administered in a planned auction of goods.

(4) Auction as intended in paragraph (2) conducted through public auction by considering auction plan of goods as intended in paragraph (3).

(5) BTD as intended in paragraph (2), within 2 (two) working days prior to the first auction, may:

• a. imported for use after the customs obligations and other payable fees are paid;
• b. re-exported after the payable cost are paid;
• c. canceled its exports after the payable cost are paid;
• d. exported after the payable cost are paid; or
• e. issued with destination of TPB after payable fees are paid.

CHAPTER III
GOODS ARE DECLARED AS CONTROLLED BY THE STATE

Article 5

(1) Determination of BDN conducted by the Head of Customs Office or appointed official to issue a decision on the determination of BDN.

(2) Anyone who has been designated as BDN as intended in paragraph (1), be recorded in Customs Record Book of the BDN.

(3) BDN that has recorded as intended in paragraph (2), stored in the TPP or other place that has function as TPP and collected rent warehouse.

Article 6

(1) BDN are in the form of:

• a. prohibited or restricted goods to be imported or exported are not notified or are not properly notified in the Customs Notification; or
• b. goods and/or transportation means are blocked by Customs and Excise official, who have gotten determination, shall be notified in writing by Customs and Excise Official to the owner of the goods with a the reasons.

(2) BDN form of goods and/or transportation means abandoned in the Customs Area by an unknown owner, announced through the bulletin board or the mass media, within a period of 30 (thirty) days by the Customs and Excise Official since stored in TPP or other places that have function as TPP.

(3) BDN in the form of goods and/or transportation means abandoned in the Customs area by an unknown owner that are not settled within the period as intended in paragraph (2), determined as the BMN.

Article 7

(1) BDN as intended in Article 5 paragraph (1) that:

• a. rotten, immediately destroyed;
• b. because the characteristics of:
• 1) does not last long, among other shrinking fast, fast decay, such as fresh fruit and fresh vegetables;
• 2) damage, including sulfuric acid and sulfur;
• 3) dangerous, among other explosive items; or
• 4) the management is costly, among other items requiring special handling or care,

shall be auctioned by notifying in writing to the owner, along not constitute as prohibited or restricted goods.

(2) BDN which are prohibited or restricted goods that are not notified or notified incorrectly, determined as BMN, except for goods as intended in paragraph (1) a.

Article 8

(1) BDN in the form of goods and/or transportation means are blocked by Customs and Excise Official who is not a violation of the provisions of Customs Law, can be returned to its owner within a period of 30 (thirty) days after be piled in the TPP or another places that have function as TPP, in case of:

• a. have paid customs obligation and payable Tax in the framework of Import; and
• b. have submitted the necessary documents or information in connection with import prohibitions or restrictions.

(2) BDN in the form of goods and/or transportation means are blocked by Customs and Excise Officials in violation of the provisions of Customs Law, can be returned to its owner within a period of 30 (thirty) days after be piled in the TPP or other places have function as TPP in case of:

• a. have paid customs obligation and payable Tax in the Framework of Import;
• b. have submitted the necessary documents or information in connection with import prohibitions or restrictions;
• c. gave compensation in the amount not exceeding the price of goods; and
• d. goods are not required physically for evidence in court.

Article 9

(1) BDN in the form of:

• a. goods and/or transportation means are blocked by Customs and Excise Official; or
• b. goods and/or transportation means abandoned in Customs Area by owners who are not known,

that customs obligation are not settled within the period as intended in Article 8, determined in auctioned by the Head of Customs Office.

(2) The provisions on the settlement by auction as intended in paragraph (1), are excluded to the BDN as intended in Article 7 paragraph (1) a and Article 7 paragraph (2).

(3) BDN determined settlement in auctioned as intended in paragraph (1), administered in a planned auction of goods.

(4) Settlement by auction as stipulated in paragraph (1), carried out through public auctions by considering auctions plan of goods as intended in paragraph (3).

CHAPTER IV
GOODS ARE DECLARED AS THE STATE'S PROPERTY

Article 10

(1) Determination of BMN conducted by the Head of Customs Office to issue a decision on the determination of BMN.

(2) BMN as intended in paragraph (1), are stored in the TPP or other places that have function as TPP, and recorded in Customs Record Book of BMN.

(3) The Director General or appointed official submits to the Minister a list of the BMN and proposed settlement of BMN to be auctioned, donated, destroyed, abolished, and/or set status designation.

(4) The Minister or appointed official determines set of BMN by the proposed BMN settlement as intended in paragraph (3).

(5) BMN are determined the status as intended in paragraph (4) are the state assets and recorded in the financial statements as an asset of the state.

Article 11

(1) In determining the allotment of BMN, BMN Assessment is carried out.

(2) Assessment of BMN as intended in paragraph (1) conducted by the Directorate General of Customs and Excise which may involve the relevant agencies or independent appraiser.

(3) Assessment of BMN as intended in paragraph (2), carried out to obtain fair value based on customs documents/supplementary customs document, market prices or other pricing information sources, taking into account the condition of the goods at the time of Assessment.

CHAPTER V
AUCTION, PENGHIBAHAN, AND DESTRUCTION OF GOODS ARE DECLARED AS UNCONTROLLED AND GOODS ARE DECLARED AS CONTROLLED BY THE STATE

Article 12

(1) Lowest Price to BTD and BDN to be auctioned at least include:

• a. customs duties, excise, and Taxes in the Framework of Import;
• b. rent a warehouse in the TPS for maximum 2 (two) months;
• c. rent a warehouse in the TPP; and
• d. the cost of enumeration and piling in the TPP.

(2) To calculate the import duty, excise duty and Tax in the Framework of Import as intended in paragraph (1) a, Head of Customs Office determine the customs value of goods to be auctioned based on data available at the Customs Office.

(3) Lowest Pricing for items to be auctioned as intended in paragraph (1), conducted by the Head of Customs Office.

Article 13

(1) If bidding on the first auction did not reach the lowest price as intended in Article 12, within a maximum period of 6 (six) months to do the auction again.

(2) If at the time of re-auction bidding do not reached the Lowest Price, Head of Customs Office may recommend to the Minister through the Director General for approval of destruction of goods, given their use to government agencies, or donated.

(3) Against the allocation of goods are given of their use to government agencies, the Director General submits to the Minister for approval.

(4) The Director General on behalf of the Minister give approval or rejection of the proposal as intended in paragraph (2), except goods as intended in paragraph (3).

(5) Goods as intended in paragraph (2) are not collected rent warehouse of TPS and TPP as well as other costs incurred as a result of the management.

Article 14

(1) The results of the auction of BTD and BDN after deducting the import duties, excise, Tax in the Framework of Import, warehouse rental, and costs incurred, the rest reserved for the owner.

(2) The remaining money as intended in paragraph (1), shall be notified in writing to the owner or by notice published by Customs and Excise Official within 7 (seven) days after the date of the auction.

(3) The remaining money from the Auction as intended in paragraph (1) become state's property, if within 90 (ninety) days after the date of the notice or announcement as intended in paragraph (2) is not taken by the owners.

Article 15

The amount of state revenues derived from the auction of BTD and BDN in the form of import duty, excise, Tax in the Framework of Import, are paid entirely to the state treasury.

Article 16

Implementation of Destruction of BTD and BDN that have determined be destroyed, carried out by Customs and Excise Officials and noted in the minutes of Destruction.

Article 17

Implementation Grant of BTD and BDN that have determined for grant, conducted by the Customs and Excise Official and noted in the minutes of the handover of Grants goods.

CHAPTER VI
DESIGNATION OF GOODS BECOME THE STATE'S PROPERTY

Article 18

BMN as intended in Article 10 can be proposed to:

• a. auctioned;
• b. determined the status of its use, to:
• 1. implementation of the basic tasks and functions of state ministries/ institutions/unit work of local government; or
• 2. operated by other parties in the framework to perform public service duties and functions according to the state ministries/institutions/unit work of local government;
• c. destroyed, in case of:
• 1. BMN can not be used, can not be utilized, and can not be granted; or
• 2. other reasons according to regulation;
• d. granted, for the social, religious, humanitarian, and state/regional governance; or
• e. abolished, in case of goods which become the property of the state shrinkage, loss, or other conditions.

Article 19

(1) Determination of Lowest Price of BMN to be auctioned, conducted by the Head of Customs Office based on the assessment of the Directorate General of Customs and Excise, related agencies, or independent appraisal as intended in Article 11 paragraph (2).

(2) Lowest Price as intended in paragraph (1), include:

• a. prices of goods in accordance with the results of BMN assessment of the Directorate General of Customs and Excise, related institution or independent appraisal as intended in Article 11 paragraph (2);
• b. rent warehouse in the TPS for maximum 2 (two) months;
• c. rent warehouse in the TPP;
• d. the cost of enumeration and accumulation in the TPP; and
• e. other costs that are used for the purposes of BMN auction.

(3) Lowest price used at auctions is the price that has been approved by the allotment of BMN to be auctioned by the Minister.

(4) In case of BMN being auctioned is a Prohibition or Restrictions on the import of Goods, Auction participants must meet the import requirements from related technical agencies.

Article 20

(1) If bidding on the first auction does not reach the Lowest Price as intended in Article 19, conducted a second auction.

(2) If at the time of the second auction Lowest Price is not reached, the Head of Customs Office may recommend to the Minister through the Director General for approval of auctioned again, donated, destroyed, abolished, and/or set the status of their use.

(3) In case the Head Office of Customs is proposing re-auction as intended in paragraph (2), conducted Assessment again to BMN.

(4) Assessment again of BMN as intended in paragraph (3), conducted by the Directorate General of Customs and Excise which may involve the related agencies or independent appraiser.

Article 21

(1) The highest bid price submitted by the auction participant who has been endorsed as the winner of the auction by Auction official is the Auction price.

(2) Auction price as intended in paragraph (1) include:

• a. BMN prices;
• b. rent warehouse in the TPS for maximum 2 (two) months;
• c. rent warehouse in the TPP;
• d. the cost of enumeration and accumulation in the TPP; and
• e. other cost that are used for the purposes of the BMN Auction.

(3) The amount of state revenues from the BMN auction is price of BMN Auction as intended in paragraph (2) a shall be paid entirely to the state treasury.

(4) Auction Results that are part of the auction Price as intended in paragraphs (2) b, c, d, and e, are provided to the right party.

Article 19

(1) Service User that acts as an Importer and has not received NIK, can be served its customs obligation only for 1 (once) Import Customs Notification after obtaining approval from the Head of Customs Office.

(2) Services User that acts as Exporters and/or Carrier that has not received NIK, can be served its customs obligation for 14 (fourteen) working days from the date of receipt of application for Customs Registration as intended in Article 5.

Article 20

For the purposes of control, Customs and Excise Officials can conduct investigation on Service Users who has not received NIK.

Article 21

Provisions concerning the procedures of application for Customs Registration, the filling form, procedure of administration checking, procedures for Customs Registration data changes, and procedure of customs registration for Service User in Free Trade Zone and Free Port, are governed by Regulation of the Director General.

Article 22

(1) BMN are determined their allocation by the Minister and has been implemented, administration is settled by close the Customs Record Book on BMN.

(2) Head of the Customs Office submits report on the BMN recording and BMN administrative settlement to the Director-General, with the following provisions:

• a. report for the period of January 1 to June 31 shall be submitted no later than first week of July;
• b. report for the period of January 1 to December 31 the previous year be submitted no later than the first week of January.

(3) the Director General submits report on the BMN recording and BMN administrative settlement as intended in paragraph (2) b, to the Minister through the Director General of State Assets.

CHAPTER VII
STORAGE OF GOODS ARE DECLARED AS UNCONTROLLED, GOODS ARE DECLARED AS CONTROLLED BY THE STATE, AND GOODS ARE DECLARED AS THE STATE'S PROPERTY

Article 23

(1) Head of Customs Office or appointed official responsible for the management, administration, and storage of BTD, BDN, and BMN.

(2) Storage of BTD, BDN and BMN as intended in paragraph (1), carried out in the TPP or other places, which have function as TPP by attention to the conditions and nature of the goods.

(3) TPP and other places that have function as TPP as intended in paragraph (2) are determined by the Head of Customs Office on behalf of the Minister.

CHAPTER VIII
OTHER PROVISIONS AND CLOSING PROVISIONS

Article 24

Costs incurred in the framework of BTD, BDN, and BMN handling, based on this Regulation of the Minister of Finance, charged to the budget of the Ministry of Finance.

Article 25

Further provisions concerning:

• a. BTD Destruction procedures as intended in Article 3 paragraph (1) a;
• b. BTD auction as intended in Article 3 paragraph (1) b;
• c. BTD completion period as mentioned in Article 3 paragraph (1) and paragraph (2);
• d. procedure and period of BMN settlement as intended in Article 10;
• e. Destruction of BTD and BDN administration as intended in Article 16;
• f. the BTD and BDN Grant administration as intended in Article 17;
• g. cost elements that are needed to determine the lowest price as intended in Article 19 paragraph (2); and
• h. procedures for the completion of the Auction as intended in Article 21 paragraph (4),
• are regulated by the Regulation of the Director General.

Article 26

The procedure for the auction, extermination, grant, abolishment, and the determination of the status of the use of BMN, in according to regulation in the field of auctions and in the field of management of goods belonging to the state.

Article 27

At the time this regulation comes into force, the Regulation of the Minister of Finance No. 13/PMK.04/2006 concerning Goods are Declared as Uncontrolled, Goods are Declared as Controlled by the State, and Goods are Declared as the State's Property as amended by Regulation of the Minister of Finance No. 53/PMK.04/2008, shall be revoked and declared null and void.

Article 28

This Regulation of the Minister of Finance shall come into force after 60 (sixty) days from the date of promulgation.

For public cognizance, this Regulation of the Minister of Finance shall be promulgated by placing it in the State Gazette of the Republic of Indonesia.

Stipulated in Jakarta
on March 30, 2011
MINISTER OF FINANCE,
signed,
AGUS D.W. MARTOWARDOJO