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Income Tax Article 22 is a tax imposed on certain business entities, whether owned by the government or the private sector that carry out export and import trading activities.
This provision is according to Law Number 36 of 2008 concerning Income Tax. This Article 22 Income Tax is a form of levy that is carried out by one party to the taxpayer and is related to trading goods. Before carrying out export & import activities, know what is subject to tax.
In accordance with the Regulation of the Minister of Finance Number 34/PMK.010/2017, concerning Collection of Income Tax Article 22 regarding Payment for Delivery of Goods & Activities in the Import Sector or Business Activities in Other Sectors.
The following is the object of Article 22 Income Tax:
1. Import and Export
Import and export activities of goods carried out by importers and exporters are subject to Article 22 of Income Tax, namely commodity goods:
- Non-metallic minerals
- Coal mine
- Metal minerals
2. Payment for Purchase of Goods
Payment for the purchase of goods is subject to Article 22 Income Tax collected by the government treasurer & Budget User Proxy (KPA) using the Money Supply (UP) procedure on:
- Other country forums
- Central government
- Local government
- Government Agencies or Institutions
3. Payment for Purchase of Goods to Third Parties
Payment for Purchase of Goods to Third Parties subject to Article 22 Income Tax
- The official issuing the payment order who was delegated according to the KPA
- Exclusive payments to KPA
4. Payment for Purchase of Goods for BUMN
- Payments for the purchase of goods for State-Owned Enterprises (BUMN) are subject to Article 22 of Income Tax for business purposes.
5. Sales of Produce to Distributors
Sales of products to domestic distributors are subject to Article 22 of Income Tax for business entities in the fields of:
- Cement industry
- Paper industry
- Steel industry
- Upstream industry
- Automotive industry
- Pharmaceutical industry
6. Oil and Gas Sales
Sales of oil and gas by producers and importers are subject to Income Tax Article 22, including sales of:
- Fuel oil
- Gas fuel
- Lubricant
7. Purchasing Materials from Collectors
Purchases of materials from collectors for industry or for export are subject to Income Tax Article 22 in the sector:
- Forestry
- Plantation
- Agriculture
- Farm
- Fishery
8. Sales of goods that are classified as very expensive
The sale of goods classified as very luxurious or expensive is subject to Article 22 of Income Tax, which is carried out by the taxpayer body.
Items classified as luxury that are subject to Article 22 of Income Tax
As Article 1 paragraph (2) of PMK 92/2019 states that goods are classified as very expensive which are the objects of Article 22 income tax, including:
- Exclusive airplanes & exclusive helicopters
- Yachts, yachts, & the like
- House with land, with selling price or transfer price of more than IDR 30 billion or building area of more than 400 square meters
- Apartments, condominiums & the like, with a selling price or transfer of more than IDR 30 billion or a building area of more than 150 square meters
- Four-wheeled motorized vehicles transporting less than 10 people in the form of sedans, jeeps, sport utility vehicles (SUV), multi purpose vehicles (MPV), minibuses & similar, with a selling price of more than IDR 2 billion or using a piston capacity of more than 3,000cc
- 2 and 3 wheel motorized vehicles, with a selling price of more than Rp. 300 million or using a piston capacity of more than 250cc.
Use the services of Indotransjaya Nusantara to assist you in importing and exporting.