Enhancements to the Implementation Instructions for Accelerating Tax Overpayment Refunds
- October 15, 2023
- Posted by: Administrator
- Category: Tax News

The Indonesia Tax Office (”ITO”) has issued Circular No. SE-10/PJ/2023 regarding Enhancements to the Implementation Instructions for Accelerating Tax Overpayment Refunds. This provision aims to provide legal certainty, fairness, convenience, and simplicity in refunding tax overpayments.
SE-10/PJ/2023 explains that an individual taxpayer who submits an individual annual tax return with an overpayment status of up to Rp100.000.000 (one hundred million rupiah) can apply for an accelerated refund of the tax overpayment by checking the box for restitution pursuant to Article 17B of the KUP Law or for an advance tax overpayment refund decree (SKPPKP) based on Article 17D of the KUP Law. For an individual annual tax return that is currently being audited, this accelerated refund can be provided as long as the Notification of Tax Audit Findings (SPHP) has not been issued. The SKPPKP will be issued after the completion of review on the correctness of tax figure calculations, proof of credited withholding tax slip, and the validity of the State Revenue Transaction Number (NTPN) in the individual annual tax return. The detail of the procedures for expediting refunds is regulated in Minister of Finance Regulation Number 39/PMK.03/2018.
This Circular became effective on September 5, 2023. With the stipulation of this Circular Letter, tax overpayments are still governed by PER-5/PJ/2023 dated May 9, 2023 and SE-7/PJ/2023 dated May 26, 2023.