PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
December 31, 2003, April 30, 2003 and December 31, 2002 Expressed in millions of Rupiah, unless otherwise stated
97
27. TAXATION continued c. Corporate income tax expense - current continued
Tax Decisions and Tax Assessment continued Bank Mandiri engaged PT Vigers Hagai Sejahtera, an independent appraiser, to perform a revaluation of
premises and equipment received from legacy banks. The results were submitted to and approved by the Directorate General of Taxation through the Decision Letter of the Head of State and Regional
Offices of Corporate Tax Services No. KEP-01WPJ.07KP.01052003 dated June 18, 2003 Note 14.
Based on the approval from the Minister of Finance through Decision No. S-206MK.012003 and the approval from the Directorate General of Taxation on the results of the fixed assets revaluation, Bank
Mandiri is entitled to receive the transfer of fiscal losses from the merged banks and is able to utilize the fiscal losses as compensation against future taxable income. The amount of tax losses transferred to
Bank Mandiri is Rp31,944,418. The transfer of tax losses has been taken into account by the Tax Office when re-assessing Bank Mandiri’s tax liabilities from 1999 to 2002, and such losses have been utilized
to compensate the increment arising from the revaluation of premises and equipment received from the merged banks.
On June 18, 2003, the Directorate General of Taxation issued Decision Letter No. KEP-
093WPJ.07KP.01092003, which states the “official rectification of Decision Letter No. KEP- 001274069905101 dated November 20, 2001” adjusting the tax loss carryforward that can be
compensated by Rp13,659,210. Consequently, the amount of fiscal losses that can be compensated became Rp8,234,516 for the year ended December 31, 1999.
On June 20, 2003, the Directorate General of Taxation issued a Decision Letter No. KEP- 236WPJ.07BD.032003, which states the “official rectification” of Decision Letter No. KEP-
106WPJ.07BD.032003 dated March 14, 2003 regarding the taxpayer’s objection on its corporate income tax assessment SKPKB No. 000282060005102 dated July 5, 2002 for fiscal year 2000 and
increasing the fiscal net profit for 2000 by Rp15,506,709 to become Rp28,236,332. Such fiscal net profit had been compensated with the tax loss carried forward, therefore the corporate income tax
liability for the year 2000 was RpNil. On June 23, 2003, the Directorate General of Taxation issued tax decision letter No.
00005506010512003, increasing the taxable income for 2001 by Rp2,342,573 to become Rp6,746,964. The letter confirmed that Bank Mandiri has no corporate income tax liability for 2001
due to utilization of tax losses. On June 23, 2003, the Directorate General of Taxation issued tax decision letter No.
000014060205103, reducing the tax loss for 2002 by Rp7,659,860 to become a net profit for 2002 of Rp1,288,881. The letter confirmed that Bank Mandiri has no corporate income tax liability for 2002
due to utilization of tax losses.
PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
December 31, 2003, April 30, 2003 and December 31, 2002 Expressed in millions of Rupiah, unless otherwise stated
98
27. TAXATION continued c. Corporate income tax expense - current continued
