Although Import Duty on consigned goods is imposed at a single rate, the government pays special attention to suggestions from craftsmen and producers of goods that are much loved and come from abroad. For example, bags, shoes, and garment products in Indonesia are not selling well, there are even craftsmen who have gone out of business because of the flood of similar products from abroad.
Reflecting on the impact of the proliferation of these products, the government has set normal import duty rates for bags, shoes, and garments as follows:
• Special bag 15% – 20%
• Special shoes 15% – 25%
• Textile products with 10% VAT
• As well as Income Tax Article 22 imports of 7.5% to 10%
The determination of this normal rate is aimed at creating fair treatment in taxation or a level playing field between domestic products, the majority of which come from IKM (Small and Medium Industries) and are taxed, with imported products through shipments and distributor imports through general cargo.
In drafting this rule change, the government involves various parties so that they can create rules that are inclusive and uphold justice in doing business.
It is hoped that with the PMK 199/2019, the import duty exemption facility for consigned goods (de minimis value) can really be used for personal needs and encourage people to use domestic products more.
