In relation to the disclosure of financial information for taxation purpose as stipulated under Government Regulation in Lieu of Law No. 1/2017 and MoF Regulation No. 73/PMK.03/2017., the Director General of Taxation (DGT) has issued guidelines for request of information and/or evidence (Informasi dan/atau Bukti atau Keterangan – IBK) through circular letter No. SE-16/PJ/2017 (“SE16”) dated 14 July 2017. SE-16 describes the scope, authorized officers, and procedures for requesting IBK from a financial institution (LJK), other LJK and/or other entities.
The scope for requesting IBK is as follows:
- Implementation of International Agreements;
- Tax Collection;
- Inspection of preliminary evidence;
- Tax Investigation; and
- Completion of Mutual Agreement Procedure (“MAP”) and Advance Pricing Agreement (“APA”) processes.
The authorized officers for requesting the information are as follows:
a. The Director of International Taxation has the right to request IBK for implementation of internal taxation and completion of MAP and APA;
b. The Director of Audit and Collection has the right to request the IBK for Tax Audit conducted by the Directorate of Audit and Collection;
c. The Director of Law Enforcement has the right to request the IBK for inspection of preliminary evidence and/or investigation conducted by the Directorate of Law Enforcement;
d. The head of a DGT regional office (Kepala Kanwil DJP) has the right to request IBK for tax audit, inspection of preliminary evidence and investigation, conducted by Kanwil DJP; and e. The head of a tax office has the right to request IBK for tax audit and/or collection.
The type of information requested is the information related to financial accounts, among others;
a. Account number;
c. Balance or value; and
d. Transaction movement. managed by a financial institution (LJK), other LJK and/or other entities.