Mining firms ready to comply with new tax ruling

Mining companies operating in the country are ready to comply with the new Minister of Finance Regulation No 213/PMK.03/2016 (PMK), which requires mining firms which have affiliates both overseas or at home to disclose and report in details their business operations.

The policy forms part of efforts to prevent mining companies from implementing transfer pricing strategy to avoid tax, Kontan reported on Tuesday.

Corporate Secretary of IDX-listed coal giant PT Bukit Asam Tbk (PTBA) Adib Ubaidilah said that the company is ready to comply with the new regulation. ?PTBA will comply with the new regulation,? he said.

Meanwhile, Corporate Secretary of IDX-listed mining firm PT Aneka Tambang Tbk (Antam) Trenggono Sutioso said that the company will study how the PMK will affect its business. ?We?re still studying how the PMK will affect the cooperation between Antam and its affiliates. But regarding transactions such as equity injection and loans between Antam and its affiliates they have already complied with the regulation set by the Financial Services Authority,? he said.

IDX-listed coal giant PT Adaro Energy Tbk Head of Corporate Communications Febrianti Nadira said the company has been implementing fair price in making transaction with affiliates and has documented the transactions. She added that Adaro is ready to comply with the new regulation. (*)