How To Submit Your Investment Progress Report To BKPM Don’t Miss the Deadline!

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How To Submit Your Investment Progress Report To BKPM Don’t Miss the Deadline!

BKPM-Indonesia-Investment-Coordinating-Board-Onlin-SPIPISE-NSWi-LKPM-Indonesia

The new regulation of Indonesia Investment Coordinating Board (Badan Koordinasi Penanaman Modal) also known as BKPM, that has been effective on October 26, 2015 in which Head of BKPM Regulation No.17 of 2015 on Guidelines and Procedures for Capital Investment Implementation Control (“BKPM Regulation 17/2015”) which repealed the Head of BKPM Regulation No. 3 of 2012.

The key change is the Report Deadline. BKPM Regulation 17/2015 regulates that the BKPM License holders must submit their periodical reports (Investment Progress Report, or LKPM) to BKPM and other relevant Investment Boards. Under the BKPM Regulation 17/2015, the LKPM and/or any Reports must be submitted online at http://nswi.bkpm.go.id with the following deadlines:

No. Periodical Report License Holder Submission Period/Deadline
1. Laporan Kegiatan Penanaman Modal (“LKPM”) or Investment Realization Activity Report PMA Company or PMDN Company with Principle License Quarterly (4 times a year)

Deadlines: 10 April, 10 July, 10 October, and 10 January per year

2. Laporan Kegiatan Penanaman Modal (“LKPM”) or Investment Realization Activity Report PMA Company or PMDN Company with Business License Semi-Annually (Twice a year)

Deadlines: 10 July and 10 January per year

3. Laporan Kantor Perwakilan Perusahaan Asing or Periodical Activity Report Kantor Perwakilan Perusahaan Asing (KPPA) or Foreign Representative Office Annually (Once a year)
4. Laporan Kantor Perwakilan Perusahaan Perdagangan Asing or Periodical Activity Report Kantor Perwakilan Perusahaan Perdagangan Asing (KP3A) or Foreign Trade Representative Office Semi-Annually (Twice a year)

 

5. Laporan Realisasi Impor or Import Duty Facility Realization Report PMA Company or PMDN Company with Import Duty Facilities Deadline: 7 days after the date of the Customs  Clearance Approval (Surat Persetujuan Pengeluaran Barang)
6. Laporan Kegiatan Realisasi Impor or Periodical Import Realization Report PMA Company or PMDN Company with Import Licenses (Angka Pengenal Importir or API) Quarterly (4 times a year)

Deadlines: 10 April, 10 July, 10 October, and 10 January per year

Recently, BKPM has tightened their stance on LKPM and/or Report Submission by the BKPM License holders. BKPM will periodically remind BKPM License holders by phone and/or email of their obligation to submit their LKPM and/or Report by online before the deadline hits. Failure to submit LKPM and/or Report before the deadline can lead to the administrative sanctions by BKPM or other relevant Investment Boards.

BKPM’s administrative sanctions, in order of priority:

  1. Written Warning Letters/Online Warning Letters;
  2. Business Activities Limitation;
  3. Freezing of Business Activities/Capital Investment Facility; and
  4. Revocation or Cancellation of Investment Approvals/Business Licenses/Capital Investment Facility.

Other than failure to submit periodical reports, BKPM’s administrative sanctions also apply to LKPM and/or Report (both PMA and PMDN Companies) that have conducted commercial production without a Business License, and/or have deviated from the provisions of their investment approvals.

HOW CAN SMART CONSULTING HELP YOU?

SMART Legal Consulting has extensive experience in assisting Investors to submit the Investment Progress Report (LKPM) to the BKPM. If you need immediate assistance, please contact the SMART Help Desk at:

E:  info@smartcolaw.com

H: +62821-1234-1235

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