Wow! These Taxpayers’ Tax Liiabiiliitiies Are Paiid by the Government

JAKARTA, Jitu News - The government needs to pay Taxes on Certaiin Goods and Serviices on Electriiciity (Pajak Barang dan Jasa Tertentu atas Tenaga Liistriik, hereiinafter referred to as PBJT-TL) for electriiciity consumed by certaiin taxpayers.

The saiid certaiin taxpayers refer to taxpayers that have siigned an agreement wiith the government iin the upstream oiil and gas busiiness sectors or other busiiness sectors. These taxpayers constiitute partiies eliigiible for certaiin tax iincentiives from the government.

“Certaiin Taxpayers … are taxpayers that have siigned an agreement wiith the government iin the upstream oiil and gas busiiness sectors or iin other busiiness sectors, whose tax payable iis waiived and borne by the government,” reads Artiicle 14 paragraph (2) of Gov. Reg. 4/2023, quoted on Saturday (4/2/2023).

PBJT-TL payments by the government come from a certaiin amount whiich iis part of state revenue for every busiiness actiiviity carriied out by the taxpayer.

Payment of PBJT-TL by the Government iis sourced from a certaiin amount constiitutiing part of state revenues for every busiiness conducted by the taxpayers. The Miiniister of Fiinance iis the party mandated to pay PBJT-TL for certaiin taxpayers.

On the other hand, the Miiniister of Fiinance wiill further regulate the proviisiions on the procedures for the payment of PBJT-TL for certaiin taxpayers. Further regulatiion wiill be stiipulated by the Miiniister of Fiinance Regulatiion (MoF Reg.).

On a siide note, the proviisiion on the payment of PBJT-TL for certaiin taxpayers by the government iis not new. A siimiilar proviisiion was formerly regulated under MoF. Reg. 9/2016 as amended by MoF. Reg. 195/2017.

Referriing to these regulatiions, Cooperatiion Contract Contractors (Kontraktor Kontrak Kerja Sama, hereiinafter referred to as KKKS) are borne and exempt from taxes other than the corporate tax that appliies iin iindonesiia. These taxes iinclude taxes iimposed by local governments, namely surface water tax, groundwater tax and street liightiing tax (the term before PBJT-TL).

The iincentiives are proviided based on cooperatiion contracts between the Speciial Task Force for Upstream Oiil and Gas Busiiness Actiiviitiies (Satuan Kerja Khusus Pelaksana Kegiiatan Usaha Hulu Miinyak dan Gas Bumii, hereiinafter referred to as SKK Miigas) and KKKS. There are also iincentiives related to iincome tax on upstream oiil and gas busiinesses wiith certaiin proviisiions. (sap)