The Minister of Finance exempts certain imported goods from import tariffs and/or value-added tax (VAT), including aircraft spare parts, scientific and technological books, coffins, or other packages containing corpses or ashes. Article 219 of the Regulation of the Minister of Finance (PMK) No. 81 of 2024 on the implementation of tax provisions for the core tax management system stipulates this policy, which will be applicable from January 1, 2025. Article 219 of the regulation states that no income tax shall be levied. Article 22: Imported goods and/or delivered goods that are not subject to income tax according to laws and regulations; The tax form for imported goods that are exempt from import tax and/or value-added tax is: (1-19). Exemption from import tax and/or value-added tax on goods is actually not a new thing, but as the core tax will be implemented from January 1, 2025, these things are included. The following is a list of goods exempt from import tariffs and/or value-added tax: items of foreign representatives and their officials serving in Indonesia on a reciprocal basis; Goods required for international organizations and their officials on duty in Indonesia, as well as personnel who do not hold Indonesian passports, which are recognized and registered in ministerial regulations that provide procedures for exempting imported goods from import tariffs and consumption taxes. The requirements of international organizations and their officials on duty in Indonesia; Items sent as gifts/gifts for public worship, charity, social, cultural purposes, or disaster management purposes; Items in museums, zoos, nature reserves, and similar places open to the public; Items for scientific research and development purposes; Items with special needs for blind and other disabled individuals; Coffins or other packages containing corpses or ashes; Moving goods; Goods imported by the central or local government for public use; Weapons, ammunition, and military equipment, including spare parts for national defense and security needs; Goods and materials used for the production of national defense and security products; Implement the polio vaccine in the National Immunization Week plan; Science and technology books, general textbooks, sacred books, religious textbooks, and other scientific books; Ships, inland waterway transport ships, inland lake transport ships, ferry transport ships, pilot boats, tugboats, fishing boats, barges and their spare parts, as well as ship safety equipment and personal safety equipment imported and used by commercial shipping companies, national fisheries companies, national port service providers or national river, lake and ferry transport service providers based on their business activities; Aircraft and their spare parts, aviation safety equipment and personal safety equipment, repair and maintenance equipment and their spare parts, as well as repair or maintenance equipment for imported aircraft, imported and used by the National Commercial Air Transport Company, shall be designated by the National Commercial Air Transport Company to provide aircraft maintenance and repair services to the National Commercial Air Transport Company; The trains and their spare parts, repair and maintenance equipment, and railway infrastructure imported and used by public railway facility operating units and/or public railway infrastructure operating units, as well as the parts or materials imported by designated parties by the state, will be used by the commercial entities of public railway facility operators and/or commercial entities providing public railway infrastructure for the manufacture of trains, spare parts, repair or maintenance equipment, and railway infrastructure; Equipment and spare parts used by the Ministry of Defense or the Indonesian National Army to provide Indonesian territorial boundary data and aerial photography to support national defense, imported by the Ministry of Defense and designated by the Indonesian National Army or the Ministry of Defense; Upstream oil and gas activity goods imported by cooperative contractors; Goods from geothermal operations; Temporary import, if the import was clearly intended for re export at that time; Re importation includes goods that have already been exported and re imported with the same quality, or goods exported for repair, craftsmanship, and testing purposes that meet the requirements determined by the General Administration of Customs.

Reprinted from: Daily Indonesia