Petitioner Meidiantoni conveying the petition’s subject matter at the material judicial review hearing of Law No. 40 of 2014 on Insurance, Wednesday (9/27/2023). Photo by MKRI/Ifa.

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JAKARTA (MKRI) — The Constitutional Court (MK) held the preliminary hearing of the judicial review of Law No. 40 of 2014 on Insurance and Article 4 paragraph (1) letter n of Law No. 7 of 2021 on the Harmonization of Taxation Regulations (HPP Law) on Thursday, September 27, 2023 in the one of the Court’s panel courtrooms. The petition No. 112/PUU-XXI/2023 was filed by Meidiantoni, a state civil apparatus (ASN) of the Directorate-General of Taxation (DJP) of the Ministry of Finance.

Article 4 paragraph (1) letter n of the HPP Law reads “The object of tax shall be income, which is any additional economic capacity received or obtained by the Taxpayer, whether originating from Indonesia or outside Indonesia, which can be used for consumption or to increase the wealth of the Taxpayer in question, in any name and form, including: n. insurance premiums.”

At the hearing presided over by Constitutional Justices M. Guntur Hamzah (panel chair), Daniel Yusmic P. Foekh, and Manahan M.P. Sitompul, the Petitioner said that the article being challenged had caused losses in the form of a decrease or reduction in the value of money by unusual ways.

The Petitioner’s alleged loss is because annual contribution funds of an insurance company are equated with annual gross income of a goods production company. This has resulted in taxes on policyholder’s contribution funds. For this reason, in his petition, the Petitioner requested the Constitutional Court to grant the petition in its entirety.

In response, Constitutional Justice Manahan M.P. Sitompul asked the Petitioner to read the Constitutional Court Regulation (PMK) No. 2 of 2021. He also advised the Petitioner to elaborate on his legal standing.

“Did you read the PMK when drafting [the petition]? Read the PMK first; there are guidelines on how to make a good petition in terms of format and substance,” he advised.

Meanwhile, Constitutional Justice Daniel Yusmic P. Foekh advised the Petitioner to revise his petition. He added that if the Petitioner wished to withdraw the petition, he could file a request to the Registrar’s Office.

Meanwhile, Constitutional Justice M. Guntur Hamzah advised the Petitioner to be more thorough. He also mentioned the withdrawal of another petition by the Petitioner.

“Mr. Meidiantoni has conveyed his wishes that all nine (petitions) be withdrawn,” he said.

Author       : Utami Argawati
Editor        : Nur R.
PR            : M. Halim
Translator  : Tahlitha Laela/Yuniar Widiastuti (NL)

Disclaimer: The original version of the news is in Indonesian. In case of any differences between the English and the Indonesian versions, the Indonesian version will prevail.

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