(DGT Circular No. SE-332/PJ/2002 dated 11 November 2002)

In order to improve taxpayers’ compliance and bring about tax extensification, and to ensure that corporate taxpayers comply with the requirement to fully complete their annual income tax returns, the DGT instructed heads of Tax Service Offices to take inventories of all corporate taxpayers and remind them of the need for their managers, commissioners and shareholders to register themselves for tax purposes (for the issuance of Taxpayer Identification Numbers (NPWP)). Such reminders must be sent to corporate taxpayers by not later than the end of November 2002.

Corporate taxpayers who fail to respond to these reminders before December 16, 2002 shall be subject to field inspections so as to obtain information that would be of use for NPWP purposes. The said field inspections must be completed by not later than December 20, 2002.

The information on managers, commissioners and shareholders who are domiciled in a Tax Service Office jurisdiction other than that of the Tax Service Office concerned, or the information on managers, commissioners and shareholders obtained as a result of a field inspection will be sent to the Tax Service Office where the persons in question are domiciled within 2 days of it being obtained. A Tax Service Office of domicile that receives the registration data for the NPWP from other Tax Service Office must issue an SKT and NPWP within 24 hours of receiving the said data. A Tax Service Office of domicile that issues an SKT (Surat Keterangan Terdaftar) is required to send a photocopy of this to the Tax Service Office that sent the data as acknowledgement of receipt of the said data. This acknowledgement must be sent to the Tax Service Office supplying the data within a period of not more than 24 hours after the issuance of the SKT.

The heads of the district offices will be responsible for overseeing the putting into effect of this circular.

The content of this article does not constitute legal advice and should not be relied on in that way. Specific advice should be sought about your specific circumstances.