Land and Building Tax (PBB)

I. Understanding

Land and Building Tax (PBB) is a State tax imposed on land and or buildings based on Law Number 12 Year 1985 on Land and Building Taxes, as amended by Law number 12 Year 1994.PBB are taxes that are material in the sense the amount of tax payable is determined by the state of the object that is the earth / land and or buildings. State of the subject (who pays) can not determine the amount of tax.

II. Land and Building Tax Objects
Objects Land and Building Tax is "Land and or Building":

Earth:
Earth's surface (land and waters) and the body is in the interior of the earth and the sea areas of Indonesia, example: paddies, fields, gardens, land. yards, mines, etc..

Building:
Construction techniques that were planted or permanently attached to land or waters.
Examples: homes, building businesses, buildings, shopping centers, railway yard, fancy fence, dock, garden deluxe, other facilities that provide benefits, toll roads, swimming pools, offshore oil rigs, etc.

III. Objects Not Subjected to Taxes on Income Land and Building Tax
Objects that are not subject to tax is the object of the Land and Building Tax:

1. Used solely to serve the public interest in the field of religious, social, health, education and national culture are not intended to make a profit, such as mosques, churches, hospitals, government, schools, orphanages, temples, etc.,
2. Used for graves, relics of ancient or similar thereto.
3. Is a protected forest, nature reserves, jungle tours, national parks, grazing land controlled by the village, and state land that has not been burdened with a right.
4. Used by diplomatic representatives based on the principle of reciprocal treatment.
5. Used by agencies and representatives of international organizations that are determined by the Minister of Finance.

IV. Subjects Taxes and Taxpayers
Tax Subject is an individual or an entity which significantly:
- Have a right to the earth, and or;
- To benefit the earth, and or;
- Own the building, and or;
- Control of the building, and or;
- To benefit the building.

Taxpayers are subject to tax subject to payment of taxes.

Returns VAT Process And Product Returns

Taxable and Tax Return Preparation Returns can be made where

1. Value Added Tax and Sales Tax on Luxury Goods for supply of Taxable Goods that are returned (returns), can be deducted from the VAT and luxury sales tax payable in the same period.
2. Buyers must make and deliver to the Entrepreneurs Memorandum Taxable Returns (PKP), the seller, if there is return of Goods Taxable (BKP), unless replaced by the BKP type, type, amount and cost the same.
3. Returns Memorandum of at least contain:
   a. Serial number;
   b. Serial Number and date of Tax Invoice Taxable Goods that are returned;
   c. Name, address, and TIN buyers;
   d. Name, address, tax ID and number, date of inauguration of the Taxable Person who issued the Tax Invoice;
   e. Kind, type, quantum, and selling price returned Taxable Goods;
   f. VAT on Goods returned Taxable;
   g. Sales Tax on Taxable Goods belonging to a luxury that is returned;
   h. Nota Returns creation date;
   i. Signature of the Purchaser.
4. Nota Returns made incomplete, can not be treated as a Memorandum of Returns, so it can not reduce the output tax to the seller or the input tax, or property, or the cost to the buyer.
5. Nota Returns made copies of at least 2 (two):
   - Sheets to-one: for PKP seller
   - Sheet 2: to archive purchasers
6. Returns must be made in the Memorandum of Tax Period at the time the return of Taxable Goods.
7. Returns Memorandum of shapes and sizes can be adjusted to the needs of buyers administration.

Services which are not subject to VAT

Delivery of Certain Taxable Services which are not subject to VAT:

1. Services received by the National Marine Transport Company, the National Fishing Company, Corporate Service Providers National port or Company Service Providers Transportation River, Lake, and the National Crossing, which includes:
   a. Boat rental services;
   b. Port services include handling tugs, pilot services, berthing services, and services moored;
   c. Maintenance or repair services (docking) vessels.
2. Services received by the National Commercial Air Transport Company which includes:
   a. Aircraft rental;
   b. Maintenance or repair of aircraft.
3. Maintenance or repair services train received by PT. (Persero) Kereta Api Indonesia;
4. The services rendered by the contractor for the chartering of building a simple house, very simple house, apartment, cottage boro, student dormitories and student and other housing, the limit determined by the Minister of Finance after noting the Minister of Settlement and Regional Infrastructure and construction of the only places for the purpose of worship;
5. Apartment rental services, housing, and home is very simple;
6. Services received by the Department of Defense or the Armed Forces which are utilized in order to limit the provision of data and aerial photographs territory of the Republic of Indonesia to support the national defense.

Certain Taxable Goods that are not subject to VAT

Certain Taxable Goods that are not subject to VAT :

1. Houses simple, very simple house, apartment, dormitory students and other students as well as housing, the limit determined by the Minister of Finance after noting the Minister of Settlement and Regional Infrastructure;
2. Weapons, ammunition, transport equipment in the water, under water transportation, air transportation, ground transportation equipment, armored vehicles, patrol vehicles and other special transportation vehicles, and parts are submitted to the Department of Defense, the military or police, and components or materials necessary in the manufacture of weapons and ammunition by PT (Persero) for the purposes PINDAD Department of Defense, military or police;
3. Polio vaccine in the framework of implementation of the National Immunization Week (PIN);
4. General lesson books, scriptures and religious books;
5. Ships and river transport, freight vessel of the lake and ferry transport ships, pilot boats, tugboats, fishing vessels, barges, and spare parts as well as shipping safety equipment or human safety handed over to and used by the National Shipping Company of Commerce, Companies National Fishing, Corporate Service Providers National port or Company Service Providers Transportation Rivers, Lakes and National Crossing, in accordance with its business activities;
6. Aircraft and spare parts and tools to flight safety or human safety equipment, equipment for repairs or maintenance are delivered to and used by the National Commercial Air Transport Company and spare parts and equipment for repair or maintenance of aircraft acquired by the party who appointed the Air Transportation Company National Commerce used in order to award the maintenance or repair services to the Company Aircraft Air Transport National Commerce;
7. Trains and spare parts and equipment for repairs or maintenance, and infrastructure to be delivered to and used by PT. (Persero) Kereta Api Indonesia and components or materials submitted to the parties appointed by PT. (Persero) Kereta Api Indonesia, which is used for the manufacture of trains, spare parts, equipment for repair or maintenance, as well as infrastructure that will be used by PT. (Persero) Kereta Api Indonesia;
8. Equipment and related spare parts used to supply boundary data and aerial photographs territory of the Republic of Indonesia to support the national defense submitted to the Department of Defense or the military.
   

Note:
If the delivery of goods taxable at 5.6 digits, and, seven used above proved incompatible with the original purpose or transferable to other parties, either partially or completely within a period of five (five) years from the acquisition, the VAT has been exempted remain mandatory paid within 1 (one) months from its use of capital goods are transferred or relocated, while the VAT paid can not be credited.

Room rental services

Room rental services including renting of goods in kind services for the delivery of motion not subject to VAT, except rental room in the hotel business is not subject to Value Added Tax.

Services in the field of hospitality which are not subject to Value Added Tax include:

1. Rental services including enhancements in the hotel rooms, lodging houses, motels, guesthouses, hostels, and facilities associated with the activities of hospitality for guests staying;
2. Rental space for events on the event or meeting in a hotel, inn, motel, inn and hostel room rental services for the delivery of Value Added Tax imposed in addition to services in the fields of hospitality, among others:
   a. For office space rental services;
   b. Room rental services to business premises or shops;
   c. Room rental services in residential, apartments, flats;
   d. Rental space for meetings (convention hall);
   e. And other similar rental space.

Necessity for Entrepreneurs By Room Rental Service
Room Rental Service in addition to businessmen in the field of hospitality for one year the delivery room rental service with a gross turnover of more than Rp. 600,000,000.00 (six hundred million rupiahs), shall:
- Sign up at your local tax office to be confirmed as Taxable Person;
- Collect, deposit and report value added tax payable.

Calculating VAT on Room Rental Services
VAT payable on the room rental rate is calculated by multiplying the VAT tax bases. VAT Rate = 10% Basic Tax on room rental are as follows:
a. Tax basis is the amount of space rental reimbursement or compensation or rental value of an empty room or should be requested by the taxpayers who rented the room, not including service charge. VAT payable is: 10% x Total Rental Value

b. Imposition of Tax Basis of service charge is:
- Replacement of the invoice amount
- Total service charge requested by Taxable Person who rented the room. Service charge, which is a reward for services which led to a rented room can be occupied in accordance with the objectives desired by the tenant. Service charge may consist of the cost of electricity, water, security, cleanliness, and administrative costs. VAT payable is 10% x Total Service Charge.

Restitution for foreign tourists

In order to attract Personal Overseas passport holders to visit Indonesia, the individual is granted Incentive Taxation. Incentives in the form of refund of VAT and luxury sales tax already paid on the purchase of BKP in Indonesia, which was then taken by the individual outside the Customs Area.

VAT and luxury sales tax already paid on the purchase BKP carried out by the Customs Area of Personal Foreign passport holders may be refunded, provided they meet the following requirements:

1. Not a citizen or Permanent Resident of Indonesia who live or stay in Indonesia of not more than 2 (two) months from the date of arrival, and / or
2. Not crews from airlines.
   

VAT and luxury sales tax may be refunded if it meets the following requirements:

1. VAT value of at least Rp. 500 000 (five hundred thousand rupiah);
2. BKP purchases made within 1 (one) month prior to departure exit the customs area;
3. Listed in 1 (one) special Tax Invoice (Tax Invoice is attached to the cash register / payment receipt / invoice as an inseparable unity, which was issued by retail stores for the purchase of his belongings which VAT will be refunded by the individual) from a (one) at a retail store (one) the same date.

Documents must be presented when requesting for VAT and luxury sales tax is:
1. Passports;
2. Boarding Pass;
3. Tax Invoice.

Tax Invoice

What is the Tax Invoice?
Tax Invoice is proof of tax levies made by the Taxable Person (PKP), which make supply of Taxable Goods (BKP) or rendering of Taxable Services (JKP).

Tax Invoice can be a sales invoice or a particular document set as a tax invoice by the Director General of Taxation.

When making Tax Invoice
BKP delivery and / or JKP
Upon receipt of payment if payment occurs prior to the delivery BKP and / or JKP.
Upon receipt of payment terms apportioned in terms of stage work
Other times regulated by or under the Regulation of the Minister of Finance.

When making combined Tax Invoice To lighten the administrative burden, taxpayers are allowed to make a single tax invoice covering all delivery BKP / JKP occurring during one calendar month to the buyer or recipient of the same JKP called tax invoice combined.
Tax Invoice made the longest combined at the end of the month submission BKP / JKP although delivery has occurred within months of payments either partially or wholly.

In the Tax Invoice shall include information about the submission or surrender JKP BKP least contain:
1) Name, address, tax ID or submitting BKP JKP;
2) Name, address, and TIN buyer or recipient BKP JKP;
3) Type of goods or services, the Sales Price or Replacement, and discounts;
4) VAT levied;
5) VAT levied BM;
6) code, serial number and date of the Tax Invoice; and
7) Name and signature of the right to sign the Tax Invoice.

Types of Services Not Subject to VAT

1. Services in the field of healthcare,
2. Services in the field of social services,
3. Services in the delivery of letters with stamps that done by. Pos Indonesia (Persero);
4. Services in banking, insurance, and lease with option rights,
5. Services in the field of religion,
6. Services in the field of education,
7. Services in the field of arts and entertainment spectacle that has been taxed including services in the field of non-commercial use art,
8. In the field of broadcasting services which are neither advertising like radio or television broadcasting services, whether conducted by Government agencies and private organizations which are neither advertising and not financed by commercial sponsors aiming.
9. Services in the field of public transport on land and in water, including public transport services on land, at sea, in lakes or in rivers that carried out by the Government or by the private sector.
10. Services in the field of labor,
11. Services in the field of hospitality,
12. Services provided by the Government in order to run the government in general, including the types of services that are implemented by government agencies such as the provision of Building Permit (IMB), the provision of Trade Business License, Tax Registration Number of delivery and manufacture of Identity Card (ID).

Type of Goods Not Subject to VAT

1. Returns the result of mining or drilling taken directly from the source, including:
a. Crude oil;
b. Natural gas;
c. Geothermal;
d. Sand and gravel;
e. Coal before being processed into coal briquettes; and
f. Tin ore, iron ore, gold ore, copper ore, nickel ore, ore, silver and bauxite ore.
g. Returns the result of mining and other drilling taken directly from the source.

2. Basic needs goods urgently needed by the people at large, namely:
a. All kinds of rice and grains, like white rice, red rice, black glutinous rice or glutinous rice is white in the form:
- Rice Crusted (paddy or rough) than for seeds;
- Ground;
- Rice semi milled or wholly milled, milled, polished, glazed or not;
- Rice in the rupture;
- Groats (groats) from rice.
b. All kinds of corn, such as white corn, yellow corn, red or yellow corn popcorn (popcorn), in the form:
- Corn that has been peeled or not / corn cobs and seed corn / maize loose maize;
- Miner (groats) / rice corn, all still in the form of granules.
c. Sago, in the form:
- Sago Pith;
- Flour, meal and powder of sago.
d. All types of soy, like soy and white, green soybeans, yellow soybeans or black soybeans in the form of broken or intact;
e. iodized salt whether or not iodium include:
- Table salt;
- Salt in bulk form or packaged 50 kg or more, with 94.7% content of Na CL
(Dry basis).

3. Food and beverages served in hotels, restaurants, restaurants, shops, and the like, including good food and drink consumed at the place or not; not including food and beverages to be delivered by a catering business or catering business.

4. Money, gold and securities.

Value Added Tax (VAT)

Value Added Tax (VAT) tax is imposed on:

1. Supply of Taxable Goods in the Customs Area conducted by the Firm;
2. Taxable Goods Imports;
3. Rendering of Taxable Services within the Customs Area conducted by the Firm;
4. Utilization of intangible Taxable Goods from outside the Customs Area within the Region. Customs;
5. Utilization of Taxable Services from outside the Customs Area within the Customs Area; or
6. Exports of Goods by a Taxable Taxable Person.
7. Intangible Tax export of the Taxable Person
8. Services exports Taxable Taxable Person.

Business Reporting In order to confirm the Taxable Person (PKP)
Employers who do:
- Delivery of Goods Taxable (BKP) and or renders Taxable Services (JKP) in the Customs area; or

- Perform export of Taxable Goods,

- Small Employers who choose to be confirmed as Taxable Person, shall report his business on the local tax office to be confirmed as Taxable Person (PKP), and shall withhold and report value added tax (VAT) and Sales Tax on Luxury Goods (Sales Tax ), which has accrued.

Taxable Person (PKP)
Taxable Person (PKP) is a businessman who did supply of Taxable Goods and or delivery services taxable income that is taxed under Act Number 42 of 2009.

Small Entrepreneur
Small employers exempted from the obligation to wear / collect VAT on supply of Taxable Goods (BKP) and or Taxable Services (JKP), so no need to report his business to be confirmed as Taxable Person, unless the Small Firm chooses to be confirmed as Taxable Person, then VAT Act is fully applicable for the small entrepreneur. Small entrepreneurs are entrepreneurs who for one year the delivery of books or JKP BKP and with a total gross turnover or gross receipts of not more than Rp. 600,000,000.00 (Six hundred million rupiahs).

State Fiscal

State Fiscal hereinafter referred to as the FLN is the Income Tax shall be paid by individual taxpayers in the country who will be off to foreign countries in accordance with taxation legislation.

1. Matters relating to fiscal

1. Individual taxpayers in the country who do not have a TIN and has been aged 21 (twenty one) years off to foreign countries will be obliged to pay the FLN.
2. Including an individual taxpayer is a wife or husband, blood relatives and family members related by marriage within the lineage straight and foster child to be borne by taxpayers and is fully recognized by the taxpayer on the basis of supporting documents and applicable law.
3. FLN payment by an individual taxpayer in the country who will be off to foreign countries by using Signs Fiscal Proof of Payment of Foreign Affairs. (TBPFLN).
4. TBFLN mandatory redemption at:
   Banks appointed by the Regional Office or Head of the KPP as payee FLN; certain UPFLN can receive payment if at airports or sea ports of departure to foreign countries where there are no payee bank, or other place specified by the Director General of Taxation.
5. FLN paid individual taxpayers in the country who will be off to foreign countries is an installment payment of Income Tax.
6. Including income tax installment is paid on behalf of the FLN is an individual taxpayer in the country.
7. Income Tax Installment payments can be credited against income tax payable at the end of the year after the taxpayer has a tax ID.
8. An individual who has settled payment FLN, for any reason to cancel his departure abroad can request the payment.

2. Overseas Fiscal tariffs are:
a. Rp. 2.500.000, - (two million five hundred thousand rupiah) for each trip by using
aircraft;
b. Rp.1.000.000, - (one million rupiah), for each trip by using a ship

3. Exclusion of Foreign Affairs Fiscal

Private people are starting to overseas will be excluded from payment of the FLN in the following manner:
- Immediate release, given by the officials of Directorate General of Tax authorities;
- Liberation through the provision of Fiskai Free Certificate of Foreign Affairs (SKBFLN) issued by the State Fiscal Unit (UPFLN) DGT.

Liberation Jump:

1. A foreigner who does not reside in Indonesia or residing in Indonesia for not more than 183 (one hundred and eighty three) days within any 12 (twelve) months, by showing a tourist visa or a visa to stop.

2. Officials of diplomatic and consular representatives or other officials of foreign countries, including members of his family and those seconded to them, working on and living with them, as long as not a citizen of Indonesia and in Indonesia did not accept or earn a position or a job outside the country concerned and provide reciprocal treatment, indicating the diplomatic passport.

In terms of his departure to abroad in the framework of overseas placements, the exemption is given also to the wives and children who are family members who are not yet 25 years old, unmarried, has no income, is still a dependent and live together in the area of accreditation in accordance with provisions of Article 4 letter b of figure (2) the Minister of Foreign Affairs No. SP/993/PD/XI/72 dated June 12, 1972.

3. Officials, representatives from international organizations that do not include income tax subjects based on the Ministry of Finance, including family members, as long as not a citizen of Indonesia and do not run the business, activities, or other work to earn income from Indonesia, by showing a passport Diplomatic.

In terms of his departure to abroad in the framework of overseas placements, the exemption is given also to the wives and children who are family members who are not yet 25 years old, unmarried, has no income, is still a dependent and live together in the area of accreditation in accordance with provisions of Article 4 letter b of figure (2) the Minister of Foreign Affairs No. SP/993/PD/XI/72 dated June 12, 1972.

4. Indonesian citizen who resides outside the country still has an official document as the country's population, by showing one of the official identification is still valid as a foreign resident the following:
a. Green Card;,
b. Identity Card;
c. Student Card;
d. Endorsements address abroad on passports by the Office of the Republic of Indonesia abroad;
e. Certificate from the Indonesian Embassy or representative office outside the Republic of Indonesia
country;
f. Formally written in the passport by the Immigration Office the local country.
Although someone has one of the official identification as a letter sd f, but in reality does not live in the country but lived in Indonesia for more than 183 (one hundred and eighty three) days within any 12 (twelve) months, concerned shall pay the FLN at the time of going off to foreign countries.
5. Pilgrimage undertaken by the competent authority, by showing a list of the names of the pilgrims by the leader of the group and executive officers of departure for the pilgrimage which the finance charged Pilgrimage Travel Costs (BPIH) by submitting a letter from the Ministry of Religious Affairs.
Exclusion does not apply to Special Pilgrims who operate Special BPIH charged.

6. An individual who travels cross-border region of the Republic of Indonesia through the land.

7. Indonesian citizen workers who will work abroad in the framework of the program delivery of Indonesian Workers (TKI), as they are not receiving income from sources within the country with
a. shows the Overseas Workers Card (KTKLN); or
b. gave approval of the Minister of Manpower and Transmigration.

8. Students from foreign countries who are in Indonesia in order to study the recommendation from the college where they study and do not receive or earn income from Indonesia, by submitting the waiver does not receive or earn income from Indonesia and letters of recommendation as a student or students of the college leadership schools concerned. Exemption does not apply to wives and children and other family members.

9. Foreigners who are in Indonesia and did not receive or earn income from Indonesia who carry out:
a. research in the field of science and culture under the coordination of relevant government agencies;
b. technical cooperation program with the State Secretariat approval; and
c. duties as members of religious missions and humanitarian missions under the coordination of relevant agencies,

by submitting the waiver does not receive or earn income from Indonesia and letters of recommendation or approval from the relevant authorities. Exclusion does not apply to wives and children and other family members.

10. Employment of foreign nationals, immigrants, who worked on the island of Batam, Bintan, Karimun Island, as long as they have income tax withheld by the employer, to submit proof of deduction of Income Tax Article 21 or Article 26 which has been legalized by the Head of the Tax Office Primary Batam or Head Tax Office Pratama Tanjung Pinang or appointed officials.
Disabled or sick people who will seek treatment abroad at the expense of social organization, including one (one) of the companion, by submitting a letter of approval from the Ministry of Health or a representative.

11. Members of the mission of art, culture, mission, mission sports or religious missions representing the Government of the Republic of Indonesia to foreign countries, by submitting a letter of approval from the relevant minister or a representative with the following conditions:

a. Minister of Culture and Tourism to the mission of the arts and cultures of the mission;
b. Minister of Youth and Sport for sport's mission;
c. Minister of Religion for the religious mission;
Exclusion does not apply to wives and children and other family members of members of the mission.

12th. Students or students who aged 21 (twenty one) years old who will study abroad in the framework of the official program of exchange students or students who organized government or a foreign entity with the approval of the minister concerned.

13. Students or students who are exempt from the obligation to repay the FLN is:
a. Civil Servants (PNS) or a member of the Indonesian National Army (TNI) and members of the Police of the Republic of Indonesia
(INP), which is equipped with service passports and letters of assignment or official travel;
b. Students or student exchanges within the framework of the official program of the student or student
hosted by the Government or Foreign Body with the approval of the Minister of National Education;

Exclusion does not apply to wives and children and other family members

Procedures for exemption from the obligation to repay the FLN is as follows:
1. for individual taxpayers in the country aged 21 (twenty one) years or more is provided through TIN validation checks by the Directorate General of Taxation UPFLN on duty at the airport or sea port of departure to foreign countries along NPWPtersebut been registered for at least 3 (three ) days before the day of departure.

2. For mandatory tax that does not have their own TIN, TIN validation checks are provided through compulsory tax that provides fully and dependents
a. Copy of Family Card, and / or
b. Took notice of parents who do not fully registered in the Family card by an individual who has a TIN by the Directorate General of Taxation UPFLN who served in airport or sea port of departure out of the country along the TIN has been registered for at least 3 (three) days sbelum day of departure .

3. for the number one s.d. figures 7a UPFLN provided directly by the Directorate General of Taxation on duty at the airport or sea port of departure to foreign countries, including individual taxpayers in the country aged less than 21 (twenty one) years.

4. for the number 7 letter b s.d. figure 13 is provided through the issuance UPFLN SKBFLN by Directorate General of Taxes at the airport or sea port of departure to foreign countries or KPP which manages the FLN or elsewhere as determined by the Director General of Taxation.

Income tax on Land Rental Building

Understanding Derived from the income received or accrued by the individual or entity from the rental of land or buildings and land, houses, flats, apartments, condominiums, office buildings, home offices, shops, stores, warehouses and industry, the income tax payable shall be final .

Objects and Tariff rental income from land and or buildings subject to final income tax of 10% (ten percent) from the gross rental value of land and / or buildings. The definition of the gross rental value is all amounts paid or payable by the tenant with a jug and in whatever form relating to land and / or leased buildings, including maintenance costs, maintenance costs, security costs, other facility fees and "service charges "both of which the agreement is made separately or together.

Witholding tax
withold income tax from the income received from rental of land and / or buildings are:

1. Tenants are government agencies, corporate tax subjects, in the country, organizing activities, permanent establishments, joint operations, perwakilian other overseas companies and individuals are determined by the Director General of Taxes, then the income tax payable shall be deducted by the tenant and the tenant is obliged to provide pieces of evidence to the rent, or who receive income;
2. Tenant is an individual or not the subject of Income Tax other than mentioned in para 1 above, the income tax payable shall be paid solely by lessors

When payable, the Deposit, and Reporting

1. Currently payable
   Tax on income from leasing land and / or building at the time of payment owed or become due rent.
2. Paying and Reporting
   - In the case of income tax owed must be repaid through deductions from the tenants, deposit to the bank and post office no later than December 10 next month after months of rental payments or become due by using the Tax Payment (SSP)

For reporting and withholding payment being made to the Tax Office no later than the date 20 months after the month berikutny or become due lease payments using Tax Income Tax Return Article 4 paragraph (2)

- In the case of income tax owed must be paid solely by the lease, the lessor must deposit income tax payable to the collecting bank or Post Office no later than December 15 next month after months of rental payments or become due by using the Tax Payment (SSP)

For reporting the payment being made to the Tax Office no later than December 20 next month after the month or become due lease payments using Tax Income Tax Return Article 4 paragraph (2)

Income taxes arising from the Prize and Awards

Understanding

• Sweepstakes prize is a prize with your name and in whatever form provided by the lottery.
• Prizes or contest awards prizes or awards are provided through a race or contest dexterity.
• Gifts in relation to employment, services and other activities is a gift with the name and in whatever form is given in relation to employment, services and activities performed by the gift recipient.
• Awards are benefits granted in connection with the achievement of certain activities.
• witholding tax
  witholding tax is:
  - Organizer of the lottery;
  - Giver of gifts

Fare

• Raffle prizes subject to income tax amounted to 25% (twenty five percent) of total gross market value of prizes or gifts in kind and shall be final.
• Prizes or awards, competitions, awards and prizes in connection with jobs, services and other activities, subject to income tax with the following conditions:

1. subject to corporate income tax rate for Article 21 Article 17 Income Tax Act, if the individual taxpayer and the recipient of the Interior.
2. subject to income tax under Article 26 amounting to 20% (twenty percent) and the finals of the gross amount by taking into account provisions of the Double Taxation Avoidance Agreement is valid, if the recipient of Foreign Taxpayers other than PE.
3. subject to income tax under Article 23 amounting to 15% (fifteen percent) of total gross income, if the taxpayer recipient agencies, including PE.

When payable, the Deposit, and Reporting

1. Currently payable
   - Income tax on prizes and awards outstanding at the end of the month or the payment of prizes handed depending on the events that occurred earlier.
   - Income tax withheld by the provider (prizes and awards) before prizes or awards given to the beneficiary.
   - The organizer shall make and give proof of income tax withholding on prize or Sweepstakes, dual 3:
   - Sheets to-one for a gift recipient (the taxpayer);
   - Sheets to-2 to the Tax Office;
   - 3rd sheet for Organizers
   
2. Paying and Reporting
   Organizers sweepstakes or award shall:
   - Have paid the tax to be cut by using the Tax Payment into bank or Post Office Perception later than the 10th calendar month following the month when the taxes become due (collectively).
   - Lodges (SPT) period to the Tax Office where the collector is registered not later than the date 20 (twenty) next month after paying or handing over the lottery prize.

Other
Not included in the definition of prizes and awards is the gift tax imposed directly in the sale of goods or services provided to all buyers along or drawn and the final consumer without a gift is received directly by final consumers when purchasing goods or jacket