How to Get An Exemption Certificate of ITA 22 on Import

JAKARTA. The spread of the Corona Virus Disease 2019 (Covid-19) outbreak has hampered economic activity and disrupted the supply chain of goods and services globally. One that experienced big hit from the pandemic is companies that have so far relied on imported raw materials.

To reduce economic burden on businesses, the government provides various incentives including exemption from Income Tax Article (ITA) 22 on import as of April 1, 2020, as stated in the Minister of Finance Regulation (Peraturan Menteri Keuangan/PMK) Number 23 / PMK.03/2020. This facility is given to companies engaged in manufacturing and has a code of Business Classifications (Klasifikasi Lapangan Usaha/KLU) as the recipient of facilities (see appendix F PMK Number 23 / PMK 03/2020).This facility can also be obtained by companies receiving Import Facility for Export Purposes (Kemudahan Impor untuk Tujuan Ekspor/KITE).The procedure for obtaining these facilities is made clear through Circular Letter (Surat Edaran/SE) of the Director General of Taxes (DGT) Number SE-19 / PJ / 2020.

To obtain the exemption facility of ITA 22 on import, taxpayer must submit an exemption certificate free certificate (SKB) of ITA 22 on import (by attaching the KLU number) to DGT via online through pajak.go.id. Meanwhile, for companies that get KITE facilities, the application must attach an assesment letter as a KITE recipient company from the Ministry of Finance. DGT will then consider whether to accept or reject the exemption certificate application by considering the suitability of the criteria and conditions required.

As the executor in the field is a customs officer, the Directorate General of Customs and Excise (Direktorat Jenderal Bea dan Cukai/DJBC) will confirm the truth of ITA 22 on Import via online for every import activity that utilizes this facility. For KITE entrepreneurs, where there are incompatible criteria, DJBC as customs authority can revoke KITE facilities. The decision is then informed to the DGT to be followed up with the revocation of an exemption certificate of ITA 22 on import. In this case, the taxpayer automatically is no longer eligible for the facility. However, ITA 22 on import that has been released since the exemption certificate was issued until it is revoked, will not be charged by the DGT (not tax payable).