Corporations are required to open Beneficiary data
ILLUSTRATION. Money illustrations and graphics
Reporter: Ghina Ghaliya Quddus, Sinar Putri S.Utami, Tane Hadiyantono | Editor: Sanny Cicilia
KONTAN.CO.ID – JAKARTA. The government finally issued a regulation requiring every corporation to disclose who actually received the benefits or beneficial owner of his efforts. This regulation is to close the loopholes for money laundering and terrorism financing crimes.
This obligation is contained in Presidential Regulation No. 13 of 2018 concerning the Application of the Principles of Recognizing the Beneficiary of the Corporation in the Context of Prevention and Eradication of Money Laundering and Terrorism Funding Crimes. The regulation was signed by President Joko Widodo on March 1, 2018.
In addition to requiring corporations to determine their beneficial owners, this regulation also requires corporations to convey correct information to government agencies regarding the beneficial owners of corporate activities and to update them once a year.
The corporation can take the form of a limited liability company (PT), foundation, association, cooperative, limited partnership, firm partnership, and other forms of corporation.
Corporate beneficiaries are also governed by a number of criteria. For PT, for example, someone is determined to be the beneficial owner if the shares, voting rights and profits they receive are more than 25% of the corporation’s profits. This person also has the authority to appoint, replace, or dismiss members of the board of directors, board of commissioners and has the authority to influence corporate decisions.
Deputy Head of the Financial Transaction Reports and Analysis Center (PPATK) Dian Ediana Rae said the regulation was deliberately formulated to force corporations to open up the people behind their businesses.
With this legal umbrella, it is hoped that in the future, money laundering and terrorist financing crimes using corporations can be prevented. “This is to make it easier for PPATK to sniff out dirty games in corporations. So far, Indonesia has not regulated these obligations,” he told KONTAN, Wednesday (7/3).
Tax observer Danny Darussalam Tax Center (DDTC) Bawono Kristiaji said, although it is aimed at preventing the occurrence of criminal acts of money laundering and terrorism financing, the existence of this regulation provides many benefits from the tax side.
Because with this obligation, the tax authorities can use the data to prevent taxpayers from escaping their obligations. “Tax liability can be a reason for beneficiaries to disguise themselves and break the chain of ownership. In order to avoid paying taxes, this rule can cover that,” he said.
It’s just that for entrepreneurs, this rule is not fun. Chairman of the Indonesian Employers’ Association (Apindo) for Public Policy, Danang Girindrawardana, said this obligation was a blunder. “Corporate ownership can be withdrawn from the AHU Directorate General, the PPh structure can also be seen the names of the corporate owners and the percentage of their shares,” he said.
DONATION, Get Free Vouchers!
As an expression of gratitude for your attention, there are free vouchers worth donations that can be used to shop at the KONTAN Store.