As announced by Indonesia’s Minister of Finance Sri Mulyani Indrawati during a press conference last week (28 December 2017), The Indonesian Government has issued a new regulation on the import duties for items bought abroad by travelers.
The new regulation increases the threshold of value for items that travelers may bring through customs that is exempt of import duty (de minimis value) from US$250 to $500 per person. This regulation is to replace the previous 2010 Ministry of Finance Regulation regulation No. 188/PMK.04/2010.
Other than the threshold increase, the new regulation also omits the per family duty free limit of $1000. Now, all travelers are treated as individuals, to whom the $500 limit applies.
Moreover, the import duty for items above the threshold that was previously calculated per item of goods, now uses a single rate of 10% VAT (PPN) and 10% Income Tax (PPH) under the new regulation.
The new regulation also accommodates tax exempts for items that will only be Indonesia temporarily, or for items purchased in Indonesia that were brought abroad temporarily, to not be imposed with import duties upon re-entering the Indonesia borders.
The Minister said that this change was deemed necessary in response to the significant growth of Indonesians’ per capita income and the increasing number of travelers.
For more information about this regulation, visit Indonesia’s Customs and excise Facebook Page or Hotline 1500225, Soekarno Hatta Customs: 081289330168, Juanda Airport Surabaya Customs: 08113009147, Ngurah Rai Airport Bali Customs: 085934484644, and Kualanamu Airport Medan Customs: 081361709382.
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