approval of Board of Commissioners of the Company, the Company has distributed an interim dividend to PT Dian Swastatika
Sentosa Tbk for Rp169,999,660,000 and PT Sinar Mas Cakrawala for Rp340,000.
If after the end of the Company’s fiscal year on December 31, 2011, the Company suffered a loss, then the interim dividend
which has been distributed has to be returned by the shareholders to the Company.
Board of Directors Directors and Board of Commissioners are jointly and severally liable for damages of Company in terms
of shareholders
cannot return
the interim
dividend as
mentioned above.
XIV. TAXATION
Income tax from share dividends received by shareholders is calculated and treated in accordance with tax regulations and
prevailing implementing regulations. The following is a summary of the major consequences in terms
of taxation in Indonesia due to ownership and sale of shares on Limited Liability Companies established in Indonesia.
The following provisions in this chapter have meanings as follows:
1. Non-resident Tax Payer
Pursuant to Article 2 paragraph 3 of the Income Tax Law No.36 Year 2008 “UUPh No. 36 Year 2008” what is meant
by non-resident tax payer is: 1.
an individual not residing in Indonesia, or who is present is present in Indonesia for not more than
183 one hundred and eighty three days in any 12 twelve month period, and a body which is not
established or
domiciled in
Indonesia, that
conducting business
or carrying out
activities through a fixed based in Indonesia; and
2. an individual not residing in Indonesia, or who is
present is present in Indonesia for not more than 183 one hundred and eighty three days in any 12
twelve month period, and a body which is not
established or domiciled in Indonesia, that derives or earns income from Indonesia other than from
conducting or carrying out business.
2. Resident Tax Payer
a. an individual residing in Indonesia, an individual
who is present in Indonesia for more than 183 one hundred and eighty three days within 12 twelve
month period, or an individual who is present in Indonesia in a tax year and intends to reside in
Indonesia; b.
a body which is established and domiciled in Indonesia,
3. Indonesian Shareholder
is Indonesia resident or local body who owns the stocks.
DIVIDEND DISTRUBUTED TO NON-RESIDENT SHAREHOLDERS
Dividends on shares declared by the Company from retained earnings and distributed to non-resident shareholders is
subjected to an income tax withholding in Indonesia, at current rate of 20 twenty percent of the amount distributed
in the form of cash dividends or of the division value of the shares held by shareholders normally calculated based on
the par value of the share for distribution in the form of share dividends. In the case that the provisions of Agreement
