PT ADARO ENERGY Tbk AND SUBSIDIARIES Schedule 554
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 31 DECEMBER 2014 AND 2013
Expressed in thousands of US Dollars, unless otherwise stated
36. TAXATION continued
b. Recoverable taxes continued
In a further settlement dated 29 December 2014, Adaro had, in good faith, permitted the Government to, at its sole discretion, make use of the aforesaid Deposit to apply to allegedly unpaid sales tax amounting to Rp109.1 billion
equivalent to US8,770 for the fiscal years 2001 to 2007 and Rp59.3 billion equivalent to US4,770 for the fiscal year 2008. Management, however, does not agree with the assessment with regards to the underpayment of sales tax
determined by BPKP since the law “Undang-Undang” to impose sales tax had been repealed in 1983 and there is no prevailing law that serves as a valid legal basis for the Government to impose sales tax on Adaro, despite the fact that
the Government had issued PMK 194. Because of this reason, management believes that sales tax cannot currently be legally imposed on Adaro. Adaro intends to recover the sales tax in accordance with the applicable law. The
consolidated financial statements do not include any adjustments that might ultimately result from a settlement or resolution of this matter.
On 5 January 2015, Adaro received a letter from the Head of State Asset and Auction Office Jakarta V “KPKNL” informing Adaro that the remaining balance of the Deposit stands at Rp214.6 million equivalent to US17 as at
31 December 2014. The vehicle fuel tax Pajak Bahan Bakar Kendaraan Bermotor“PBBKB” receivable represents the balance of PBBKB
that Adaro believes is reimbursable by the Government, since PBBKB is a new tax according to the provisions of the CCA. For the year ended 31 December 2014, Adaro had offset the reimbursement claims for vehicle fuel tax against
royalties payable to the Government amounting to US30,376 31 December 2013: US80,264. Until 31 December 2014, Adaro had offset a cumulative amount of US157,937. The consolidated financial statements do not include any
adjustments that might ultimately result from a settlement or resolution of this matter.
c. Taxes payable 2014
2013
Corporate income tax 36,433
27,712 Other taxes:
- Income tax Articles 23 and 26 8,385
5,600 - Income tax Article 21
1,629 2,442
- VAT 831
628 - Land and building tax
- 921
- Others 466
165
Total 47,744
37,468 d.
Income tax expense 2014
2013
Current income tax 158,568
212,155 Deferred income tax
29,305 20,364
Income tax expense from tax audit adjustment 12,557
468
Total consolidated income tax expense 141,820
192,259
As restated refer to Note 3
206
PT ADARO ENERGY Tbk AND SUBSIDIARIES Schedule 555
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 31 DECEMBER 2014 AND 2013
Expressed in thousands of US Dollars, unless otherwise stated
36. TAXATION continued
d. Income tax expense continued
