Tax Collection

Based on the provisions in Law Number 19 of 1997 concerning Tax Collection with Distress Warrant (Surat Paksa), which was amended by Law Number 19 of 2000 (UU PPSP), Tax Collection is defined as a series of actions to ensure the Tax Debtor (Penanggung Pajak) settles the tax debt and tax collection costs by warning or admonishing, carrying out instant and simultaneous collection, serving a Distress Warrant, proposing prevention, executing confiscation, carrying out detention, and selling the confiscated goods.

Basis of Tax Collection

The basis for Tax Collection is the tax debt, namely the tax that is still due/must be settled by the payment due date. This tax debt also includes administrative sanctions in the form of interest, fines, or increments contained in the tax assessment letter or similar letters based on tax laws and regulations.

Meanwhile, the specific basis for tax collection, according to the provisions of Article 18 of the UU KUP, is the Tax Collection Letter (Surat Tagihan Pajak/STP), the Underpaid Tax Assessment Letter (Surat Ketetapan Pajak Kurang Bayar/SKPKB), and the Additional Underpaid Tax Assessment Letter (Surat Ketetapan Pajak Kurang Bayar Tambahan/SKPKBT), as well as other letters or decisions that result in an increase in the amount of tax payable.

Administrative Sanctions

If the SKPKB or SKPKBT is not paid or is underpaid, then in accordance with the provisions of Article 19 of the UU KUP, the Taxpayer will be subject to an interest penalty of 2% per month of the underpaid tax amount. The interest is calculated from the due date until the date of settlement. The same penalty also applies if the Taxpayer postpones payment or pays the tax in installments, or if there is an underpayment of tax due to the postponement of filing the Annual Tax Return (SPT Tahunan).