Customs Declaration (exemptions/duties) - Are things changing?

Chiron

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I've traveled in and out of Indonesia internationally more times than I can remember - mostly through Jakarta. With only one exception, I've never been questioned about the items I've brought into the country. I generally have several electronic devices that include laptop, tablet, smartphone together with a bunch of other things. I generally bring some gifts (oleh-oleh) that often include sweets, snacks, and maybe clothing items. I've even brought a second laptop once, and it wasn't an issue.

Short story...
The one exception to all this was a time (maybe 10 years ago), my wife's friend asked me to carry a full suitcase where she paid the extra luggage fees with the airline. I didn't know what was in the suitcase, but trusted this person who was a close friend of my wife. When I arrived, in Soekarno Hatta Airport, they asked to open just this one suitcase. There were 15 watches in brand new boxes, 5 new handbags, and about 20 bottles of perfumes. The customs people were called over, and also a military looking police officer. They asked me why I hadn't declared these items. Needless to say, I was a bit surprised, and they didn't look happy. As it turned out, my wife's friend was having her relative meet me at the airport to pick up the suitcase, who was also an airport employee at one of the airlines. With his badge he was standing there, and witnessing the whole thing, and quickly started a very involved conversation with the authorities who were questioning me. We were brought back to a holding room, and the relative told me to wait outside while he discussed the situation. About 10 minutes later, he came out of the room, and everyone was smiling. He took the suitcase, thanked me for bringing it, and said there was no problem now. I asked if there was any fee or payment, and he said it was Rp80.000. That was the end of that event, and with minor exceptions, I've never taken anything again for anyone since that time.

Recently, there's a lot of chatter among the Indonesians here in Houston about the government getting more strict about customs at the international airports in Indonesia - especially in Jakarta. There's gossip and posts on social media, about customs officials really pressing incoming passengers about declarations. The question here: are things are getting more strict, and has something changed in the past year or so that is now focusing on collecting duties? In my short story above, it's pretty clear that this was wrong, and I learned my lesson. However, what if I bring two used laptops, an iPad and iPhone? I may also bring oleh-oleh and all my personal items for the trip. I may have some diving gear items. There are specialized backpacks, camera, GoPro, and other hiking equipment - and some of it may be new. However, they'll all have been unboxed and maybe in a carrying case.

The above is just an example, but the main point is where do they draw the line? I'm interested to hear what others have experienced. I realize this is a tricky question no matter where you go in the world, but Indonesia has generally been fairly tolerant over the past 17 years I've been going there. The question of this post, is whether things have changed, and if so, how and why?

Thanks.
 
The "main point" here is that you put everyone on your flight in jeopardy.
 
The "main point" here is that you put everyone on your flight in jeopardy.

Yes, this is also true - and learned an important lesson about trust. That said, I'm still curious if there are recent observations, or are things really the same as they have been.
 
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I've traveled in and out of Indonesia internationally more times than I can remember - mostly through Jakarta. With only one exception, I've never been questioned about the items I've brought into the country. I generally have several electronic devices that include laptop, tablet, smartphone together with a bunch of other things. I generally bring some gifts (oleh-oleh) that often include sweets, snacks, and maybe clothing items. I've even brought a second laptop once, and it wasn't an issue.

Short story...
The one exception to all this was a time (maybe 10 years ago), my wife's friend asked me to carry a full suitcase where she paid the extra luggage fees with the airline. I didn't know what was in the suitcase, but trusted this person who was a close friend of my wife. When I arrived, in Soekarno Hatta Airport, they asked to open just this one suitcase. There were 15 watches in brand new boxes, 5 new handbags, and about 20 bottles of perfumes.

Geez........ with friends like that who needs enemies. I have never had any problems coming in and out of the country. I don't know if things have changed but I wouldn't bring in anything obviously flaunting their rules and not claiming them.
 
Geez........ with friends like that who needs enemies. I have never had any problems coming in and out of the country. I don't know if things have changed but I wouldn't bring in anything obviously flaunting their rules and not claiming them.

I can say that we're all still friends after that. She became our friend through the local Indonesian church here in Houston, and just asked if I wouldn't mind bringing an extra suitcase of shopping mall stuff (i.e. oleh-oleh) for her mother in Jakarta. She apparently had been doing something similar for a number of years on her trips, and was never questioned. She met me at the airport check-in counter (while I was waiting in line) with the suitcase, so she could pay the extra bag allowance to the airline. She gave me the key to the suitcase lock, and off it went down the conveyor belt.

It's amazing how many Indonesians here are continuously asking my wife and I to carry something back to their families, or bring back to the US. I've been asked to bring all sorts of stuff - like a large bag of prescription drugs for an elderly person's heart (that I definitely declined, and made that person quite unhappy with me). There's also been Javanese dance costumes, iPhones, children's clothing, jackets, food items, mailing letters and packages back in the US, not to mention lots of money to be wired on arrival in Indonesia. Since the customs declaration suitcase event, I've pretty much gotten out of the cargo, money transfer, or whatever business with our friends. However, it seems every year without fail someone shows up on our departure day with a smile and a favor to ask. I generally tell them it's not possible. No, I don't like it, and yes some of them aren't so friendly now.
 
My wife says that customs in Jakarta airport are definitely more strict and she's busy advising all her chat-mafia who travel.

Recently, some family returned from Singapore with an expensive handbag and, because they didn't have an NPWP, they were taxed a full 20% on the difference between their allowance and the cost of the bag. I'm not sure why an NPWP comes into it but apparently the case is on Utube.....somewhere.
Just a thought....maybe those expensive name-brand stores in Jakarta malls are bribing the Customs to ensure their own sales.

Last time we came into Bali we put all medicines/vitamins in a plastic bag and provided a list. Customs was grateful that we made his job easier as he could easily see what we had.... and we quickly passed Customs check.
 
Customs is under pressure to provide more revenue for the government, just like all other tax offices. So they're going to step up enforcement. The personal exemption is US$250 per adult traveler, and US$1000 for a family travelling together. I would stick to those numbers.

Re: NPWP. The import duty for someone with NPWP is cheaper than withouth NPWP. PPh 22 specifies personal import duty of 7.5% if you have NPWP, 15% if you don't.
 
Recently, some family returned from Singapore with an expensive handbag and, because they didn't have an NPWP, they were taxed a full 20% on the difference between their allowance and the cost of the bag. I'm not sure why an NPWP comes into it but apparently the case is on Utube.....somewhere.
Just a thought....maybe those expensive name-brand stores in Jakarta malls are bribing the Customs to ensure their own sales.

Yes, this is the same story going viral among the Indonesian crowd here. Here's the video about the Chanel handbag (recorded in Bahasa Indonesia):


The quick summary of the story from my limited Indonesian goes like this: The lady went to Singapore and bought a purse for 7090 SGD (roughly Rp70 juta). She was then taxed almost Rp28 juta - which according to my calculator is about 40%. From a screen grab on the video, it looks like they were taxed on the import duty, PPN VAT, and an income tax.
 
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Coming back from Thailand last month, I didn't notice much of a change.
 
Not sure what the big deal is, any country limits the amount of items bought abroad that its citizens can bring in as far as I know, few exceptions here and there perhaps.
 
Yes, this is the same story going viral among the Indonesian crowd here. Here's the video about the Chanel handbag (recorded in Bahasa Indonesia):


The quick summary of the story from my limited Indonesian goes like this: The lady went to Singapore and bought a purse for 7090 SGD (roughly Rp70 juta). She was then taxed almost Rp28 juta - which according to my calculator is about 40%. From a screen grab on the video, it looks like they were taxed on the import duty, PPN VAT, and an income tax.

Sorry but carrying the bag in like that really shows total ignorance of the rules, of course they got caught.

Their "tax free" allowance as a family is $1000 USD, any amount over that gets charged 15% import duty, 10% VAT and 20% income tax. Should they have had a NPWP they would've gotten a "discount" for the income tax, down to 10%.
 
Sorry but carrying the bag in like that really shows total ignorance of the rules, of course they got caught.

Their "tax free" allowance as a family is $1000 USD, any amount over that gets charged 15% import duty, 10% VAT and 20% income tax. Should they have had a NPWP they would've gotten a "discount" for the income tax, down to 10%.

So right...lucky you didn't wear your $5,000 suit on arrival at Soekarno Hatta as that could make the suit very expensive.
 
So right...lucky you didn't wear your $5,000 suit on arrival at Soekarno Hatta as that could make the suit very expensive.

I bought it in Indonesia so I'm safe, thanks for the concern though.
 
Sorry but carrying the bag in like that really shows total ignorance of the rules, of course they got caught.

Their "tax free" allowance as a family is $1000 USD, any amount over that gets charged 15% import duty, 10% VAT and 20% income tax. Should they have had a NPWP they would've gotten a "discount" for the income tax, down to 10%.

I think you hit one of the points I've been seeking when starting this post. If you bring in brand new boxed items, and worse yet carrying it in the branded store bag, you're a prime target. However, bringing in some expensive items that are unboxed, repacked, being worn or carried, and are somewhat obvious for personal use - may not be targeted.

Also thanks for explaining all those different taxes, and their breakdown.
 
I bought it in Indonesia so I'm safe, thanks for the concern though.

You mean there's a tailor in Indonesia that charges $5,000 to make a suit.....what kind of exotic car does he drive?
 
I knew it........the suit is rp 5000. It is the 5000 part that sounds impressive :biggrin1:. I had a shirt I bought for 100,000.
 
You mean there's a tailor in Indonesia that charges $5,000 to make a suit.....what kind of exotic car does he drive?

Italian tailors with a presence in Indonesia; Brioni, Zegna, Canali. They have shops in Indonesia for their RTW collections, but do MTM (Su Misura) as well usually by a visiting tailor from Italy. It takes about 6 to 8 months to create the suit, including multiple fittings.

If you go crazy on the fabrics and details, opt for full canvassed suits at the local Wong Hang or Laxmi tailors, you'll reach 2/3k USD easily. Then again they also do some fused suits from 6jt or so.
 
Italian tailors with a presence in Indonesia; Brioni, Zegna, Canali. They have shops in Indonesia for their RTW collections, but do MTM (Su Misura) as well usually by a visiting tailor from Italy. It takes about 6 to 8 months to create the suit, including multiple fittings. .

I'll concede it makes sense to pay $5,000 for a suit if that includes the tailor's first class fares (I presume) to/fro Italy for multiple fittings over 6-8 months....:wof::thumb:

BTW What visa does a visiting Italian tailor use to work in Indonesia? Surely you wouldn't want him/her to be 'ignorant of the rules' you suggested those in the video above should have been aware of.
 
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I did not notice any difference in customs when we returned from Cambodia / Thailand in March. By the way, @Chiron , just out of curiosity, which church do you attend in Houston? My wife and I have friends at IFGF and FIBC there.
 
I noticed no difference when we returned with 12 pieces of luggage in July at CGK.

We do bring a lot of gifts back, mostly inexpensive gifts and the like. I also bring lots of food items, at least 30-40kg of stuff. Nothing really expensive, though. Usually under $500 for the family.

It's been many years since I was hassled by customs at CGK. I've had my bags marked with a chalk X a handful of times, to be checked, but have never paid any fees or such.
 

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