ANNOUNCEMENT 06 Dec 2013
In December 2013, the government of Indonesia announced a change to the import-specific domestic duties.
NUMBER OF INTERVENTIONS
Regulation 175/PMK.011/2013 (foreign language)
Exact list of products affected by Regulation 175/PMK.011/2013 (foreign language)
Secondary source , PWC tax flash
Complete list of goods:
On 6 December 2013, Indonesia increased the Income-tax (PPh 22) on imported goods from 2.5 per cent to 7.5 per cent. The PPh 22 rate applied for all owners of Importer Identification Numbers (API) while the 7.5 per cent rate already applied to imports without an API. Therefore not all importers are affected by the measure. Although referred to as a tax, this measure appears to tantamount to an import tariff.
The range of affected goods includes motor vehicles, household appliances, cellular phones, clothes, footwear, jewellery and explicitly excludes food products. A complete list can be found on the Eurocham website in the sources.
The measure entered into force on 6 January 2014 and was repealed on 8 August 2015 (cf. Related state acts). However, as the new regulation did not revoke the tax hike but partially increased it (to 10%), this intervention continues to be classified as implemented.