The Indonesian House of Representatives and President officially promulgated the Law Number 10 of 2020 on Stamp Duty (“Stamp Duty Law”) on 26 October 2020 and will be effective from 1 January 2021. With the effectiveness of Stamp Duty Law, the Law Number 13 of 1985 on Stamp Duty will be repealed and no longer valid.
The government intends to improve efficiency, expediency, and legal certainty regarding the use of stamp duty. Moreoever the government classifies digital documents as a stamp duty object.
Stamp Duty Documents
One of the important changes of the new Stamp Duty Law is that electronic documents are also included as object of stamp duty. Furthermore, the nominal limit for money receipt documents or the acknowledgement of debt or debt repayment documents changes to an amount exceeding IDR 5 million. Under the new Stamp Duty Law, stamp duty objects are documents concerning civil matters, documents that need to be submitted as evidence before a court of law, and other documents which will be regulated in the government regulation.
Documents on the statements of negotiable paper or commercial paper (securities) savings, bookkeeping, deposit, ownership, or securities deposit in custodial bank are not classified as stamp duty objects. Furthermore, Stamp Duty Law stipulates that documents intended to implement government’s policies in the monetary and financial services sector by Bank of Indonesia are exempted from stamp duty fees.
Stamp Duty Fees
Stamp Duty Law stipulates provisions on stamp duty fees. Talking about stamp duty fees will involve the previous provisions under the Government Regulation Number 24 of 2000 on The Changes of Stamp Duty Fees and Nominal Limit of Stamp Duty Object (“GR No. 14/2000”). Under the old Stamp Duty law and GR No. 14/2000, stamp duty fees are divided into two costs, namely IDR 3,000 and IDR 6,000. Stamp duty fees in the new Stamp Duty Law are simplified into one fixed rate which is IDR 10,000.
Stamp Duty Due
Stamp duty is due as determined by the type of documents. The following shows when the stamp duty is due based on the type of documents:
|
Document Type |
Stamp Duty Due |
|
Agreement Letter, Statement Letter, Letter of Undertaking, etc. |
When the document is signed. |
|
Notarial Deed and the copy of Notarial Deed. |
When the document is signed. |
|
Land Official Deed and the copy of Land Official Deed. |
When the document is signed. |
|
Securities documents. |
When the document is made. |
|
Securities transaction documents, transaction documents, and Futures Contract. |
When the document is made. |
|
Statement Letter and other documents made for specific person or party. |
When the document is handed over to the party to whom the document is made. |
|
The quote of Minutes of Auction Deed, Minutes of Auction Deed, and copy of Auction Deed. |
When the document is handed over to the party to whom the document is made. |
|
Document stating the receipt of money or an acknowledgement of debt or debt repayment. |
When the document is handed over to the party to whom the document is made. |
|
Evidence presented before the court. |
When the document is presented to the court. |
|
Document entered into abroad to be used in Indonesia. |
When the document is used in Indonesia. |
Government aims to create legal certainty through Stamp Duty Law by stipulating the subjects who must pay the stamp duty fees. Unless stipulated otherwise by the parties, Stamp Duty Law classifies the party who is responsible to pay stamp duty fees based on the type of documents, as follows:
| Document Type | Payer |
| Documents made unilaterally. | The party receiving the document. |
| Documents made by two or more parties | Each party receiving the documents. |
| Securities documents. | The party issuing the securities. |
| Evidence presented before the court. | The party presenting the evidence. |
| Documents entered into abroad to be used in Indonesia | The party benefiting from the document. |
E-Stamp Duty
The form of stamp duty is another key changes in the new Stamp Duty Law. Under the new Stamp Duty law, stamp duty has 3 forms, sticky stamp duty, e-stamp duty, and other forms which will be determined by the Minister of Finance Regulation.
Until prior to the effectiveness of the new Stamp Duty law, stamp duty fees are only applicable to printed documents. The government hopes to optimize state’s income by stipulating that digital documents are regarded as stamp duty object, which includes digital transactions in the e-commerce.
Adhika Patria
