Procedures for the Imposition of Administrative Sanctions upon Notaries
In order to clarify matters pertaining to the imposition of administrative sanctions upon notaries, the Ministry of Law and Human Rights has issued Regulation No. 61 of 2016 on Procedures for the Imposition of Administrative Sanctions upon Notaries. This regulation essentially addresses two important matters, namely the types of administrative sanctions that may be imposed upon notaries, as well as the procedures involved in the imposition of said sanctions.
Govt. Redefines Emissions-Quality Standards for Certain Motor Vehicles
The Ministry of Environment and Forestry has finally taken the initiative and set higher emissions-quality standards for motor vehicles through the issuance of Ministry Regulation No. P.20/MENLHK/SETJEN/KUM.1/3/2017. This regulation mandates that both producers and importers of Category M, Category N and Category O motor vehicles now have to comply with the emissions standards which are commonly referred to as EURO 4.
New Procedures for the Reporting of Testaments and for Applications for Testament Certificates via Electronic Means
In order to implement a more convenient registration process, the Ministry of Law and Human Rights has now set up an electronic system for the reporting of testament deeds and for applications for testament certificates through the issuance of Regulation No. 60 of 2016 on Procedures for the Reporting of Testaments and Applications for Testament Certificates via Electronic Means. Through this regulation, notaries are now obliged by the Ministry to create lists of the testament deeds which are drawn up before them within a month of their creation, as well as so-called “null lists” if no such testament deeds are drawn up. These lists should then be reported to the Testament Lists Center via the official website of the Directorate General of General Legal Administration at the Ministry, or by notaries who will be held liable for any legal consequences which are incurred as a result of any acts of non-compliance. Aside from the various procedures and requirements involved in the compliance with these obligations, the new regulation also sets out a number of guidelines which relate to requests for testament certificates, which allows interested parties to ascertain whether certain testament deeds have already been registered or not.
Provisions on the Requirements and Procedures for the Appointment, Transfer, Termination and Extension of Terms of Office for Notaries Amended
In a bid to improve the processes involved in the appointment, transfer, termination and extension of terms of office for notaries through the online application system, the Ministry of Law and Human Rights has issued Regulation No. 62 of 2016 on the Amendment to Ministry of Law and Human Rights Regulation No. 25 of 2014 on Requirements and Procedures for the Appointment, Transfer, Termination and Extension of Terms of Office for Notaries. This edition of ILB will address several matters, including the new supporting documents which are required during the notary appointment process, new procedures for the appointment of notaries, and the newly established AHU Online Application system.
Disclosure of Financial Information for Tax Purposes
The government has finally enacted Government Regulation in Lieu of Law No. 1 of 2017 on Access to Financial Information for Tax Purposes. This regulation sets out the main legal framework for the implementation of Automatic Exchanges of Financial Information (AEoI) in order to ensure compliance with the various tax provisions set out under the prevailing laws and regulations, as well as various tax treaties which are applicable to Indonesia. In order to achieve this, the regulation sets provisions which relate to the following areas: (1) Access to financial information for tax purposes and exemptions to the secrecy obligation; (2) Obligation to report financial information and the identification process and submission mechanisms; (3) Immunity rights for parties implementing the AEoI obligations; and (4) Criminal sanctions.
New Licensing Provisions for Oil-and-Gas Business Activities
With the ultimate aim of improving both the investment climate and productivity within the oil-and-gas sector, the Ministry of Energy and Mineral Resources has recently issued Regulation No. 29 of 2017 on the Licensing of Oil-and-Gas Business Activities. In essence, this regulation simplifies the licensing mechanism for the oil-and-gas sector and sets out several provisions which relate to license types, requirements for securing licenses, license validity periods and so forth.
Submission of Foreign-Customer Taxation-Related Information Further Regulated
The Financial Services Authority has issued Circular Letter No. 16/SEOJK.03/2017 on the Submission of Foreign-Customer Taxation Information for the Purpose of the Automatic Exchange of Information Through Common Reporting Standards. This circular sets out a number of provisions which address the following areas: (1) Reporting by financial institutions which are subject to the Automatic Exchange of Information obligation; (2) The classification of foreign customers whose information must be reported; (3) Identification of foreign customers and their willingness to submit their taxation information; and (4) Reporting mechanisms for reportable or undocumented accounts.
New Provision for Parties to Working Mining Contracts
The Ministry of Energy and Mineral Resources has issued Regulation No. 28 of 2017, which amends Ministry Regulation No. 05 of 2017 on the Enhancement of the Added Value of Minerals Through Domestic Mineral Processing and Refinery Activities. This amendment redefines the transitional provision, specifically as it related to mining-business form conversion.
Recovery of Investment Costs During the Cooperation-Contract Transition Period for Upstream Oil-and-Gas Activity
Following the introduction of the Gross-Split Production Sharing Contract scheme, the Ministry of Energy and Mineral Resources is continuing to issue guidelines relating to the scheme, which is set to gradually replace the existing Cost-Recovery scheme. This time, the Ministry has issued Regulation No. 26 of 2017, which mainly addresses details relating to the recovery of contractors’ investment costs within working areas, should the government choose to apply the Gross-Split scheme.
Govt. Simplifies the Distribution of Gas Fuels for Transportation Purposes
For the purpose of accelerating the conversion from oil fuel to gas fuel, the Ministry of Energy and Mineral Resources has issued Regulation No. 25 of 2017 on the Acceleration of the Use of Gas Fuel for Road Transportation Purposes. This new regulation addresses several matters, including the gas-fuel distribution roadmap, the appointment mechanism, distributors, incentives, supervision measures and prohibitions upon state/regionally owned enterprises and businesses as regards the provision and distribution of gas fuels