Other Methods to Calculate Gross Turnover

The Minister of Finance has issued regulation No. 15/PMK.03/2018 concerning Other Methods to Calculate Gross Revenue. These other methods are used to calculate the Gross Revenue of a Taxpayer who fulfils the following criteria:
a. Does not or does not fully perform bookkeeping or record keeping obligation; or
b. Does not or does not fully show and/or lend records or books or their supporting documents;

with the result that the actual Gross Revenue cannot be determined, so that Gross Revenue should be determined using these Other Methods. The gross revenue may be calculated using Other Methods, including:

1. Cash and non-cash transactions;
2. Source and use of funds;
3. Unit and/or volume;
4. Calculation of living expenses;
5. Increase in net assets;
6. Based on the Tax Return or the result of tax audit of the previous tax year;
7. Projected economic value; and/or
8. Ratio calculation.

From the effective date of this regulation on 13 February 2018, for a Taxpayer as mentioned above who is in a tax audit process and has not been issued the Notification of Audit Results, the gross revenue shall be calculated based on the provisions in this regulation.