Legal Analysis of the Status of Distribution of Joint Inheritance Rights in the Collection of Income Tax (PPh)

Abstract

Inheritance is not an object of Income Tax, however, in certain circumstances inheritance, especially the distribution of joint inheritance rights, can be subject to Income Tax. This research aims to analyze the position of distribution of joint inheritance rights in the collection of PPh according to applicable laws and regulations, as well as to examine the reasons for the distribution of joint inheritance rights being subject to PPh. The research method is normative juridical. The type of data used is secondary data. The data collection method is literature study. The results of this research are: first, Article 4 paragraph (3) letter b of the Income Tax Law regulates that transfers due to inheritance are not objects of Income Tax. The PPh exemption must be based on the SKB PPh issued by the KPP Pratama where the object of inheritance is located. The application for issuing an Income Tax SKB can be accepted or rejected by KPP Pratama. When KPP Pratama refuses to issue an PPh SKB, the heirs must pay PPh of 2.5% on NPOP. PPh payments are made to obtain a Tax Payment Letter (SSP PPh), and will be used as the basis for fulfilling taxation when registering the transfer of land rights. Second, the reason the distribution of joint inheritance rights may be subject to Income Tax (PPh) is because the inherited assets have never been reported in the heir's Annual SPT. However, if the heir can prove that the heir has income below Non-Taxable Income even though the heir did not report the inherited assets in the heir's SPT, then the heir cannot be charged PPh, and KPP Pratama must grant the request for an Income Tax SKB submitted by the heir. Because there is no tax owed that must be paid off by the heirs.