Standard Guidelines for Foreign Employees Salaries (Expatriate)

The development of global business now showing as if there are no more boundaries between countries, more and more Foreign Investment Company (PMA), which grows in Indonesia, prompting the rise of foreign workers (expatriates) who come and work in Indonesia.

The treatment of foreign employees is often different than the local employees. The existence of various facilities and benefits (such as housing allowances, children education allowances, leave allowances, allowances for transport to return to their home country and so on) are given to foreign employees cause trouble determining how much actual income and benefits received from the company, so often it is becoming trigger a tax dispute.

Not to mention if the foreign employee is a worker who sent directly by the parent company was in default of Foreign Affairs and his salary had been determined directly by the State party. In addition to tax will arise disputes with tax authorities (during tax audits) in terms of Income Tax Article 21/26, can also arise differences in perceptions about the amount of salary costs that can reasonably be deducted from net income in the Annual Financial Report Corporate Tax Return. The value of fairness is often associated with the term of Relationship as stipulated in Article 18 of the Income Tax Act.

Above considerations, the Director General of Taxation to set a standard salary for foreign workers as a guide in determining the reasonableness of the amount of salaries paid to foreign workers as stipulated in Decree of Directorate General of Taxation Number KEP-173/PJ./2002 dated May 22, 2002. Unfortunately, these guidelines are based on the situation in 2002 and until now there has been no change.

The meaning of the standard salary of foreign employees is stipulated in the amount of gross income KEP-173/PJ./2002 1 (one) month in connection with the work in the form of salary and other benefits received or accrued foreign employees who work in areas outside the field oil and gas drilling.

Guidelines for foreign employees' salaries as listed in Attachment of the Director General of Taxation Number KEP-173/PJ./2002 is used in case:

• There are hints that the books are not true so that taxpayers can not be calculated the amount of tax that should be payable;

• Obtained evidence indicating that there is payment of salaries of foreign employees who are not entirely accounted for repayment of Income Tax Article 21 or Article 26;

• Examiner did not obtain data that can be used to determine the amount of salaries of foreign employees in the establishment of Tax Article 21 or Article 26 is owed.

Use of standard guidelines for salaries of foreign employees should consider:

a. Nationality of foreign employees concerned;

b. Type of business of a foreign company where employees earn (the employer);

c. The position or office of foreign employees within the company where the related work.

questions that might arise from the establishment of standard guidelines for foreign employees' salaries, for example:

1. Does the company have to follow the guidelines in terms of determining its foreign employees' salaries?
2. What if expatriates are receiving salaries below the standards established by the Director General of Taxation?\
3. What if the foreign workers (expatriates) are actually received no salary at all from the company, because it was directly paid for by parent companies overseas?
4. Are salaries paid and enjoyment (fringe benefits) given to employees of foreign companies (expatriates) can be deducted as a cost-cutting corporate income tax if the obligations of Article 21 / 26 are met?

Evidence could be prepared to solve the problem of foreign workers (expatriates) who are not paid by the company in Indonesia, can be either a letter agreement (employment contract), cash flow, general ledger, and so forth. With strong evidence that seems to be a supporter in resolving tax disputes with the examiner.

BI will propose tax incentives for Islamic banking

JAKARTA. Bank of Indonesia (BI) intends to propose some tax incentives that can be enjoyed by the Islamic banking industry. It is intended for the development of Islamic banking industry could be more motivated.

BI deputy governor Halim Alam said, the laws that exist today actually is sufficient to provide clarity on the tax status of some Islamic products. However, the law provides equality of treatment is merely an alias tax neutrality. While the form of special tax incentives for Islamic banking products have so far not yet exist.
"Some incentives may be given or are we going to propose to certain products in Islamic banks which we will prove through research risk is low, so later than what we send down his RWA can also lowered taxes so that is really clear. Maybe that's what we will propose (in government), "Halim said in Jakarta on Wednesday (24/11).

Halim says, with the provision of tax incentives for the Islamic banking industry, he believes it could provide a huge boost for Islamic banking is growing. BI in essence, says Halim, wanted to attempt furtherance of Islamic banking and Islamic economics could become a national agenda. Thus, it requires cooperation with various parties. No exception of government as the authorities manage tax issues.

Source : Kontanonline.com, 24 November 2010

Starting 2011, Carriage of Goods subject to Customs Import

Metrotvnews.com, Jakarta: Ministry of Finance set import duties on goods carried by passenger, crew transportation, and crossing boundaries, as well as shipments that will apply from January 1, 2011 through the Minister of Finance Regulation No. 188/PMK.04/2010.

Head of Public Relations Bureau Kemenkeu, Yudi Pramadi, in a statement received here on Wednesday (24/11), states, of goods subject to import duties are personal items that brought the passengers, crew personal goods transportation facilities, or personal goods crossing borders, and / or merchandise beyond the customs value and / or a certain amount.

Officials of Customs and Excise set tariffs on imports of Passenger Personal Goods, Private Goods Carrier's Crew Facility, Boundary Passage of Private Goods, Trade in Goods, and Goods Shipment.

Determination of tariffs based on tariff of the goods concerned. In the case of imported goods intended for more than three types of goods, Customs and Excise Officers only one set of tariffs on goods the highest rate.

About understanding boundary crossing, Yudi says, is a resident or residing in the border regions and countries have identity cards issued by the competent authority and which will travel across borders at the border areas through cross-border Postal Supervisors.

The crew of the carrier means is any person who because of the nature of his work must be in transport facilities and come with a means of transport. While the passenger is every person who crossed the borders of countries, using means of transport but not the crew and not the Carrier Facility Boundary Passage.

Regarding the limit on the number of goods that are not subject to import duties (duty-free entry), Yudi said, for personal belongings of passengers by customs value at most U.S. $ 250 (FOB) per person or U.S. $ 1000 U.S. per family. Personal items that brought the crew of transportation with the customs value of maximum U.S. $ 50 (FOB) per person also get exemption from import duty.

As for the maximum value of private goods crossing borders are exempted from import duties divided by origin country. For Indonesia and Papua New Guinea at most U.S. $ 300 (FOB) per person for a period of one month, Indonesia and Malaysia: at most 600 RM (FOB) per person for a period of one month if past the mainland, while if past the ocean is set at lot 600 RM (FOB) per boat for each trip.

As for Indonesia and the Philippines established at most U.S. $ 250 (FOB) per person for a period of a month. Indonesia and Timor Leste at most U.S. $ 50 (FOB) per person per day.

While on the shipment, import duty exemption granted by the customs value of no more than 50 U.S. dollars (FOB) for each person per shipment. In the case of Goods Shipments exceed the customs value, the excess is charged import duties and taxes in order to import. (Ant / ICH)

Source : MetroTVNews.com, Wednesday, November 24, 2010 14:19 pm

Eco-Friendly Companies Proposed Tax Free

MAKASSAR, Reuters-TIMUR.COM - Minister of State for Environment Gusti Muhammad Hatta in Makassar, said it would propose to the Ministry of Finance to release the tax for companies with environmentally friendly or green and gold in the category.

"Friday (11/26/2010) will be announced which companies are categorized as black, red, green and gold. I will ask banks not to lend capital to the company that belongs to the category of red and black, and ask that the category of green and gold reduced interest or proposed to the finance ministry for tax-free, "he said.
This he expressed in the Declaration of Caucus and Strengthening the role of Parliament in the protection and management of the environment.

In addition, he admitted thinking about forms of moral sanctions for the head area that does not properly care for the environment in the region to support the administrative penalties, civil and criminal there. Possible forms of moral sanctions include a fatwa of the Indonesian Ulema Council.

He explained that the Indonesian Environmental Quality Index currently stands at 59.79. "Even if 60 even I am not satisfied," he said. While the position of South Sulawesi, was ranked the 15 provinces with the best environment of the 33 provinces with half of his district and the city is winning clean city.

Related to the formation of South Sulawesi DPRD environmental caucus, he said, Parliament has an important role melegislasi and arrange for all of the priority to the environment, overseeing development and budget.

"If the natural resources depleted environment will continue to get worse and cost recovery will be more expensive than the value of investments," he said.

Source : tribune-timur.com, 25 November 2010

DG Tax publish rule amandemen transfer pricing

Jakarta - The Directorate General of Taxation will continue to minimize the occurrence of the practice of transfer pricing. One of them with the authority to correct the transfer pricing tax payers in the country with respect to transactions with related parties resident Taxpayer partner countries of Double Taxation Avoidance Agreement (P3B). Correction on transfer pricing is done through coressponding adjustment mechanism.

Director of Counseling, Services, and Public Relations Directorate General of Taxation Iqbal Alamsjah mention transfer pricing correction is stipulated in Article 19 of Regulation numbered DGT Per-48/PJ/2010 of Procedure for Approval of Joint Implementation Procedures (Mutual Agreement Procedure) based on the P3B.

Iqbal said the existence of this rule all the provisions of double taxation avoidance agreement can be implemented thoroughly. "Regulation of the DGT has been effective from 3 November 2010," Iqbal said in a press release written.

Application of this paraturan, said Iqbal would increase tax revenues because of the possibility of correction of tax on transfer pricing practices that happen ..

This regulation also sets out procedures for filing and implementing procedures for the Joint Agreement of the Interior Taxpayers Indonesia or Indonesian citizen who became taxpayers Domestic Partner P3B and procedure for handling requests from the Partner Country P3B MAP.

Eradication of Transfer Pricing constrained Transaction Data

JAKARTA. Government's plan to correct the trade agreement between the companies that smells transfer pricing is a positive thing. In addition to preventing the practice of transfer pricing, it also could boost state revenues from taxes.

In accordance with the Director-General (Perdirjen) Tax Number Per-48/PJ/2010 the effective 3 November, the Directorate General of Taxation is authorized to correct the trade agreement which indicated transfer pricing between the taxpayer of the Interior (WPDN) with their counterparts abroad. Correction was done when there are indications unrighteousness information or document that agreement.


However, observers warned Gunadi Taxation, University of Indonesia, Directorate General of Tax plan would be difficult. Some obstacles, among others, the Directorate General of Taxation will have difficulty when determining the ratio of price and profit data as agreed between WPDN and their partners abroad. Therefore, the Directorate General of Taxes shall also perform cross-checks to WPDN business partners abroad.

Other difficulties, resistance from foreign investors is not light. Therefore, it could be foreign investors will reject the results of the calculation of the Directorate General of Taxation. "For example the case of PT Asian Agri, has not completed five years. Therefore, the solution transfer pricing necessary prudence and wisdom. It should be tenacious negotiations, and priority-oriented investment climate, do not even disturb the investment climate," said Gunadi to KONTAN, Sunday ( 14/11).

However, Gunadi welcomed the plan to correct Taxation Office is that smell venture agreement that transfer pricing. Understandably, the potential loss of tax revenue due to transfer pricing by companies, firms operating in Indonesia very much.

Gunadi indicated in number during 2009 and then reached Rp 1,300 trillion. Thus, the formation of anti-transfer pricing team is the right thing.

Previously, observers Taxation Narliswandi Piliang also never convey the potential tax loss due to transfer pricing practices could reach Rp 1,300 trillion. He stated, the figures were derived from Section Transfer Pricing Taxation Office is prepared on the basis of data of the Organization for Economic Co-operation and Development, or OECD. (KONTAN, June 30, 2010).

Director of Counseling Services and Public Relations Directorate General of Taxation Iqbal enforcement Perdirjen 48 Alamsjah hope this can boost state revenue from the tax sector. "How to correct the untruth of the information from the taxpayer in the country with their counterparts abroad," he said.

Source : Harian Kontan, 16 November 2010

DG Tax perfected Transfer Pricing

JAKARTA. The case of the alleged transfer pricing PT Asian Agri is a scene some time ago helped push the Directorate General (DG) of Taxation Ministry of Finance tidying resolve transfer pricing.

In simple terms, transfer pricing is a tax avoidance tricks performed by companies engaged in transactions with affiliated companies in foreign countries who do not wear fair price. As a result, income or profit companies looking thin and end up paying income taxes (income tax) is smaller than it should.

One, the government's efforts to prevent transfer pricing is to add the authority of the Directorate General of Taxation to correct the mutual agreement between the taxpayer of the Interior (WDPN) with their counterparts abroad. Correction done when there are indications of untruth information or documentation submitted by WPDN Indonesia and their partners.
These provisions set out in Article 19 of Regulation No. DGT Per-48/PJ/2010 Concerning the Implementation of the Joint Approval Procedure (Mutual Agreement Procedure) Based on Avoidance of Double Taxation (P3B). Beleid effective from 3 November 2010.

P3B is the agreement between Indonesian Government and the state government or jurisdiction partners to prevent the occurrence of double taxation and tax evasion.

Director of Counseling, Services, and Public Relations Directorate General of Taxation Iqbal Alamsjah hope with all provisions of these rules relates P3B and done thoroughly by the Directorate General of Taxation. "And also is expected to increase tax revenue, because of the possibility of correction of tax on transfer pricing practices that had happened," he said, Wednesday (10/11).

However, tax analysts said Dani Septiadi new rules to prevent transfer pricing is not necessarily able to increase tax revenue. It depends on the method and quality of later corrections made Directorate General of Taxation. "If the tax there was a correction method was less precise Directorate General of Taxes, then they do not want to do the coresponding Adjustment," he explained
Source: Harian Kontan, 11 November 2010

Tax relief important factor for exchange

JAKARTA: The government's seriousness in promoting the progress of commodity futures trading industry one of them by giving tax relief a major factor in whether or not advanced futures exchanges in a country.

CEO of Multi Commodity Exchange (MCX) Lamon Rutten said, in Indian country, the government strongly supports the development of futures trading industry, with various forms of support.

With serious support from the government, continued Rutten, India now has 70 commodity futures exchange with five of them national and some are included in the top 10 futures exchanges in the world.
"Support the government of India including the form of tax free deposits," says Rutten to Business in Jakarta, yesterday.

He added that other forms of support that is related to the contract approval process easier, and related ministries are ready to become lobbyists among other ministries, including the company's red plate to give my full support.

Rutten said that MCX has become the largest commodity exchanges in India and the sixth largest in the world. Transaction volume in MCX during 2009 amounted to 161.2 million contracts or uphill lot 70.9% from the position 2008. MCX even more superior position compared with the London Metal Exchange (LME), which occupies the position of the 7th world with a volume of 106.5 million lots in 2009.

MCX currently mentransaksikan futures contracts, among others, WTI crude oil, copper, silver, gold, nickel and natural gas. For silver contract transactions, MCX was in a position to claim the first world, for gold, copper and natural gas positioned the second highest and third position of crude oil in the world.

Rutten adds in addition to government support, the progress of the stock futures can not be separated from several contributing factors, including socialization. Stock management together with the related government must be diligent about the existence of socialization and its products.

"The market should not hesitate to spend socializing, other than that the government should also support the dissemination of this," he said.

Deputy Trade Minister Mahendra Siregar said the futures exchange in the country need to learn from the experience of India. India managed to develop a commodities futures exchange, so some of them could be a top 10 futures exchanges in the world.

"Indonesia needs to learn from the experience of futures exchanges in India to develop a futures exchange in the country," said Mahendra.

Wamendag said that Indonesia and India have the same culture that is an agricultural country. The country has managed futures advanced.

Source : bisnis.com, 8 November 2010

Benchmarking Tax

JAKARTA: After completing a total of 80 sector classifications benchmarking effort (Klu) or the business sector, the Directorate General of Taxation is now added 20 more Klu Klu bringing the total to 100.

Addition of 20 new Klu is determined by the DGT circular letter dated October 20, 2010 numbered SE-105/PJ/2010 on Stipulation ratio of total bencmarking stage IV.

"Ordered to the heads of regional offices to monitor the implementation of the Directorate General of Taxes for total utilization of benchmarking by the tax office," said Director General of Taxes in SE Mochamad Tjiptardjo Business was obtained yesterday.

The ratio of the total benchmarking is a tool or a reference to assess the fairness of financial performance and fulfillment of tax obligations by the taxpayer (WP) of these business sectors. Determination of the ratio of the benchmark using taxation data 2005-2007. The results of this benchmark can not be used directly as a basis for issuing an assessment.

Determination of the ratio of the total benchmarking carried out over 14 ratio of gross profit margin, operating profit margin, pretax profit margins, corporate tax to turnover ratio, net profit margin, and dividend payout ratio.

Furthermore, the ratio of input VAT on sales, payroll expenses to sales ratio, the ratio of interest expenses to sales, rental costs to sales ratio, depreciation expense to sales ratio, the ratio between the other input to sales, ratio of outside business income to sales, and the ratio of external costs business with sales.

Previously, the Directorate General of Taxation has set a benchmark ratio of total of 20 Klu through SE No. 96/PJ/2009 on 5 October 2009 concerning the ratio of the total benchmarking and utilization guidelines. Some 30 other business sectors regulated by the DGT Circular No. 11/PJ/2010 about determining the ratio of the total benchmarking Phase II, dated February 1, 2010.

Meanwhile, the determination of the ratio of the total benchmark of 30 set by the SE 68/PJ/2010 Klu on Stipulation ratio of total benchmarking phase III dated May 27, 2010.

Business Process Transformation Director General of Taxation Robert Pakpahan explains DG Taxation will continue to increase the number of business sectors which made his total benchmarking. "What matters more, the use of benchmarks that are already available will be increased again to facilitate monitoring of compliance."

According to him, it also will evaluate whether the utilization ratio of the total benchmarking data are used appropriately by the KPP.

"If it is not used optimally, we help make equipment including monitors to determine utilization. If misused, will be dealt with in accordance with the appropriate error handling of abuse by others, "he added.

Observers from the Tax Center Tax UI Tax DG Danny Septriadi reminded to be careful in setting the benchmark for the ratio of the total at a later date did not result in a tax dispute.

"Preparation of the database itself must be careful. Directorate General of Taxation should be able to ensure that it [the ratio of total benchmarking] is really accurate. Data for comparison should be local, do not use comparable overseas. "

He also warned that the ratio of the total benchmarking data is only an indicator of the inception of the tax violations that can not be used as a basis to issue an assessment. "Need to follow up again to prove any such indication."

However, determining the ratio of the total benchmarking is an activity which is fine by the Directorate General of Taxation in order to monitor taxpayer compliance.
Listen

Source : bisnis.com, 8 November 2010

Bappenas: Flows of foreign funds may be taxed

JAKARTA. Incoming foreign funds can be taxed. The goal is to prevent economic disruption during a large-scale withdrawal.

Secretary to the Minister of National Development Planning / Bappenas Syahrial Loetan said tax has been applied in Brazil dah Thailand. Therefore he said the government should study the possibility of the imposition of such tax. "The domain remains in the Bank Indonesia (BI), for its magnitude domain also BI. There is no harm in applying it," he said on Monday (1 / 11).

Syahrial said the imposition of this tax will benefit the government in case of withdrawal of capital. "Buy a little expensive I think it's okay. We can handful slight advantage with the existing policy," he said.

Economic Observer Tony Prasetiantono was agreed. According to him, BI should impose gift taxes to foreign funds that will come out. According to him, that policy will not affect the stability of the rupiah. "I think necessary. It is time for it to do," he said.

He said the recent capital inflow continued to flood the emerging markets including Indonesia. According to him, foreign investors tend to seek more profitable investment, especially emerging markets in Asia. "By granting such tax, will hold a minimum capital inflow last longer. Especially if capital inflow could be allocated to the real sector," says Tony.

Source : Kontan Online

Revised Statement of Financial Accounting Standards SFAS Adjusted to IFRS

a. SFAS No. 50 (Revised 2006),
about? Financial Instruments: Presentationand Disclosure?.
This standard is used for the classification of financial instruments from a prospective publisher, into financial assets, financial liabilities and equity instruments, the classification of related interest, dividends, losses and gains, and the circumstances in which financial assets and financial liabilities should be offset. SFAS No. 50 (Revised 2006) complement the provisions of the recognition and measurement of financial assets and financial liabilities are set out in SFAS No. 55 (Revised 2006). DSAK delay the implementation of SFAS No. 50 (Revised 2006) until January 1, 2010.

b. SFAS No. 55 (Revised 2006),
about? Financial Instruments: Recognition and Measurement?.
SFAS No. 55 (Revised 2006) provides guidelines for the recognition, measurement and derecognition of financial assets and financial liabilities including derivative instruments. These standards also provide guidelines for the recognition and measurement of sales contracts and purchase of non-financial items. DSAK delay the implementation of SFAS No. 55 (Revised 2006) until January 1, 2010.

c. SFAS No. 26 (Revised 2008),
about? Borrowing Costs?.
This standard provides guidance related to the capitalization of borrowing costs as part of the cost of an asset. SFAS No. 26 (Revised 2008) requires that borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset to be capitalized as part of the cost of that asset. SFAS No. 26 (Revised 2008) effective since 1 January 2010.

d. SFAS No. 1 (Revised 2009),
about? Presentation of Financial Statements?.
SFAS No. 1 (Revised 2009) set the foundations for a general purpose financial statement presentation, in order to compare well with the financial statements of prior periods and with other entities' financial statements. SFAS No. 1 (Revised 2009) set the requirements for presentation of financial statements, financial reporting structure, the minimum requirements and content of financial statements requires the Company to publish a complete financial report consisting of Statement of Financial Position, Consolidated Comprehensive Income, Statement of Changes in Equity, Cash Flow, Notes Financial Statements, which contains a summary of significant accounting policies and other explanatory information, Statement of Financial Position at the beginning of the comparative periods are presented when the entity applies an accounting policy retrospectively or to make the restatement of financial statement line items, or when the entity has reclassified items in the report finances. SFAS No. 1 (Revised
2009) is effective for reporting periods beginning on or after January 1, 2011. Early application is encouraged.

e. SFAS No. 2 (Revised 2009),
about? Statement of Cash Flows?.
SFAS No. 2 (Revised 2009) provides specific guidance in preparing the Statement of Cash Flows. SFAS No. 2 (Revised 2009) requires the Company to provide information on relevant historical changes in cash and cash equivalents are classified into operating, investing, and financing. SFAS No. 2 (Revised 2009) is effective for reporting periods beginning on or after January
January 1, 2011.

f. SFAS No. 4 (Revised 2009),
about? Consolidated Financial Statements and Parent Financial Statements?
This standard focuses on the relevance, reliability and comparability of information presented in the consolidated financial statements of the Company and its own financial statements. According to SFAS No. 4 (Revised 2009), non-controlling interests (previously called minority interests) must be presented in the Statement of Financial Position in the equity, separate from the parent entity's equity owners. At the time the company makes its own financial statements, investments in subsidiaries should be carried at cost in accordance with SFAS No. 4 (Revised 2009). SFAS No. 4 (Revised 2009) is effective for reporting periods beginning on or after January 1, 2011.

g. SFAS No. 5 (Revised 2009),
about? Segment Operations?.
SFAS No. 5 (Revised 2009) requires the Company to disclose information that enables the users of the consolidated financial statements to evaluate the nature and financial impact of business activity.
SFAS No. 5 (Revised 2009) broaden the definition of operating segments and the procedures used to identify and report the operating segments. SFAS No. 5 (Revised 2009) is effective for reporting periods beginning on or after January 1, 2011. Earlier application is permitted.

h. SFAS No. 10 (Revised 2009),
about? Effect of Changes in Value Foreign Exchange Rates?.
SFAS No. 10 (Revised 2009) broaden the definition of functional currency and the factors considered in determining the functional currency of an entity as well as provide guidance in the reporting of transactions in foreign currency translation at the presentation currency, and translation of foreign operations. In the translation of foreign operations, goodwill arising from acquisition of the foreign operation and any fair value adjustments to the carrying value of assets and liabilities stated in functional currency and translated at the closing exchange rate. SFAS No. 10 (Revised
2009) is effective for reporting periods beginning on or after January 1, 2011.

i. SFAS No. 12 (Revised 2009)
about? Section Participation in Joint Venture?.
SFAS No. 12 (Revised 2009) provides guidance on accounting and reporting of ownership in the joint venture in the financial statements of venturers. Venturers have to acknowledge the participation in joint control of assets in its financial statements. Venturers have to admit that controlled assets, liabilities and expenses incurred and the revenue in its financial statements in the joint control operations. Participate venturers have to admit part in joint control entity using proportionate consolidation or equity method. SFAS No. 12 (Revised 2009) is effective for reporting periods beginning on or after January 1, 2011. Early adoption is encouraged.

j. SFAS No. 15 (Revised 2009)
about? Investments in Associated Entities?.
SFAS No. 15 (Revised 2009) be applied in accounting for investments in associate entities, namely an entity, including non-corporate entities such as partnerships, where the investor has significant influence and not an entity . Investments in associates accounted for using the equity method. SFAS No. 15 (Revised 2009) is effective for reporting periods beginning on or after January 1, 2011.
Early adoption of SFAS No. 15 (Revised 2009) is recommended.

k. SFAS No. 25 (Revised 2009)
about? Accounting Policies, Changes in Accounting Estimates and Errors?.
SFAS No. 25 (Revised 2009) requires the Company to disclose the impact which might arise from the application of financial accounting standards are new to the financial statements at the beginning of the implementation period.
SFAS No. 25 (Revised 2009) also provides guidance to record and reveal errors, changes in accounting estimates and accounting policy changes. SFAS No. 25 (Revised 2009) is effective for reporting periods beginning on or after January 1, 2011.
Early application is encouraged.

l. SFAS No. 48 (Revised 2009)
about? Impairment of Assets?.
SFAS No. 48 (Revised 2009) provides a procedure to identify and measure the cash generating unit of asset impairment. An impairment loss should be recorded to a cash-generating unit when the unit's recoverable amount is less than its carrying value. An impairment loss should be allocated to reduce the carrying amount of any goodwill allocated to cash generating units and to other assets of the unit is divided pro rata on the basis of the carrying amount of each asset in the unit. SFAS No. 48 (Revised 2009) requires the Company to assess at the end of each reporting period whether there are indications which show that an asset is impaired and impairment losses recognized in prior periods for assets other than goodwill is not there anymore.
SFAS No. 48 (Revised 2009) is effective for reporting periods beginning on or after January 1, 2011. Companies should apply prospectively.

m. SFAS No. 57 (Revised 2009)
about? Provisions Contingent Liabilities and Contingent Assets?.
In August 2009, DSAK issued SFAS No. 57 (Revised 2009), about? Provisions, Contingent Liabilities and Contingent Assets? which replaces SFAS No. 57, about? Provisions, Contingent Liabilities and Contingent Assets?. SFAS No. 57 (Revised 2009) provides guidance to recognize and express the application of estimated liabilities, contingent liabilities and contingent assets. SFAS No. 57 (Revised 2009) is effective for reporting periods beginning on or after January 1, 2011. Early adoption of SFAS No. 57 (Revised 2009) is recommended.

n. SFAS No. 58 (Revised 2009)
about? Non-Current Assets that Held for Sale and Discontinued Operations?.
SFAS No. 58 (Revised 2009) expanded the classification guidelines and measurement of assets available for sale. Assets available for sale are presented as current assets and separate from any other heading. SFAS No.
58 (Revised 2009) is effective for reporting periods beginning on or after January 1, 2011. Early implementation encouraged.

Personal Income Tax calculation using Norm, Actually Adverse

You as an individual who becomes self-employed (not as an employee) in a year where the gross income of not more than Rp. 4.8 billion, - (four billion, eight hundred million rupiahs) could choose to keep books or use the Deemed Net Income in calculating the Personal Income Tax.

Many of those who choose to use the Norms as tax calculations simpler and also did not bother to arrange the books.

But Have you ever noticed that the income tax calculation using the Net Income Deemed proved to be more detrimental because of tax due becomes larger, it is possible that profitability obtained is smaller than the tax due.

Let's take an example, suppose you have a local grocery store, which sells household goods. Gross circulation a year of Rp. 500,000,000 -.
Based in the attachment table Deemed KEP-536/PJ./2000 regulations, for the type of retail trade enterprises grocery goods in the Jakarta area is 30%.

The amount of personal income tax payable if using the Norms as follows:
Gross Income USD. 500,000,000 -
Net Income (30%) to Rp. 150.000.000, -
Less PTKP (assuming TK / 0) Rp. 15,840,000, -
Taxable income Rp. 134 160 000, -

Personal income tax payable:
5% x Rp. 50.000.000, - Rp. 5.000.000, -
15% x Rp. 84,160,000, - Rp. 12,624,000, -
Total Rp. 17,624,000, -

If using deemed profit, meaning the cost of expenses such as employee salary costs, rental shop, electricity, and other operational costs should not be taken into account.
Though in general the benefits of trade ranges from 10% - 20% or even below 10%. Not to mention that in that year was its loss. Since choosing to use Deemed, the operating loss also should not be taken into account. So, had no need to pay taxes because the business was a loss, instead have to pay tax which is quite a material.

If you choose to use Deemed net income, do not forget to notify in writing to the Director General of Taxation no later than 3 (three) months from the beginning of the tax year concerned. If not, then considered to choose the books of account.

Since January 1, 2009 set in which, among other PER-4/PJ/2009 explain individual taxpayers who are not obliged to keep books, records must hold its shape have been defined in such Perdirjend

Although the use of Deemed to cause tax to be paid to be larger, but there are positive aspects that you need not bother to arrange the books, where to do that takes time and special skills.

Personal Income Tax calculation using Norm, Actually Adverse

You as an individual who becomes self-employed (not as an employee) in a year where the gross income of not more than Rp. 4.8 billion, - (four billion, eight hundred million rupiahs) could choose to keep books or use the Deemed Net Income in calculating the Personal Income Tax.

Many of those who choose to use the Norms as tax calculations simpler and also did not bother to arrange the books.

But Have you ever noticed that the income tax calculation using the Net Income Deemed proved to be more detrimental because of tax due becomes larger, it is possible that profitability obtained is smaller than the tax due.

Let's take an example, suppose you have a local grocery store in Pasar Senen - Jakarta Pusat, which sells household goods. Gross circulation a year of Rp. 500,000,000 -.
Based in the attachment table Deemed KEP-536/PJ./2000 regulations, for the type of retail trade enterprises grocery goods in the Jakarta area is 30%.

The amount of personal income tax payable if using the Norms as follows:
Gross Income USD. 500,000,000 -
Net Income (30%) to Rp. 150.000.000, -
Less PTKP (assuming TK / 0) USD. 15,840,000, -
Taxable income Rp. 134 160 000, -

Personal income tax payable:
5% x Rp. 50.000.000, - Rp. 5.000.000, -
15% x Rp. 84,160,000, - USD. 12,624,000, -
Total Rp. 17,624,000, -

If using deemed profit, meaning the cost of expenses such as employee salary costs, rental shop, electricity, and other operational costs should not be taken into account.
Though in general the benefits of trade ranges from 10% - 20% or even below 10%. Not to mention that in that year was its loss. Since choosing to use Deemed, the operating loss also should not be taken into account. So, had no need to pay taxes because the business was a loss, instead have to pay tax which is quite a material.

If you choose to use Deemed net income, do not forget to notify in writing to the Director General of Taxation no later than 3 (three) months from the beginning of the tax year concerned. If not, then considered to choose the books of account.

Since January 1, 2009 set in which, among other PER-4/PJ/2009 explain individual taxpayers who are not obliged to keep books, records must hold its shape have been defined in such Perdirjen.

Although the use of Deemed to cause tax to be paid to be larger, but there are positive aspects that you need not bother to arrange the books, where to do that takes time and special skills.