Govt. Reregulates PBB Payment Procedures for Oil-and-Gas and Geothermal Businesses

With the overall objective of improving payments of Land-and-Building Tax (Pajak Bumi dan Bangunan ? “PBB”) by oil-and-gas and geothermal businesses through the book-entry mechanism, the Ministry of Finance (“Ministry”) has issued Regulation No. 131/PMK.03/2017 (“Second Amendment”), which sets out a second amendment to Ministry Regulation No. 76/PMK.03/2013 (“Regulation 76/2013”) on the Administration of Land-and-Building Tax within the Mining Sector for Oil, Gas and Geothermal Businesses. Prior to the issuance of the Second Amendment, Regulation 76/2013 was previously amended by Ministry Regulation No. 26/PMK.03/2015 (“First Amendment”).

The Second Amendment essentially alters administrative procedures for the payment of PBB by oil, gas and geothermal companies (“Companies”) and encompasses the following matters: