Treaty Entitlement on Loan Interest Guarantyd By Foreign Government Financial Institutions: Analysis of KEXIM Guaranty Based on Article 11 Indonesia-South Korea Dta
DOI:
https://doi.org/10.59890/ijsas.v4i9.59Keywords:
Article 26 Withholding Tax, Tax Treaty, KEXIM, Government Guarantee, Interest, Debt-Claim, Treaty EntitlementAbstract
Cross-border loan interest may be subject to Indonesian Article 26 withholding tax. Article 11 of the Indonesia-Korea tax treaty, however, provides special treatment for interest received by governmental institutions and for interest on debt-claims guaranteed or indirectly financed by government-owned financial institutions, including the Korea Export-Import Bank (KEXIM). This study examines treaty entitlement for KEXIM-guaranteed debt using a qualitative normative-empirical approach. The evidence combines four Article 26 tax-dispute response documents, a semi-structured expert interview with a senior tax consultant experienced in international withholding tax and tax treaties, the treaty and applicable regulations, and a synthesis of 45 Indonesian journal articles and 5 international journal articles. The findings show that the explicit listing of KEXIM in Article 11(4) establishes its institutional status but does not automatically exempt every interest payment associated with KEXIM. Article 11(3) entitlement requires characterization as interest, residence and beneficial-ownership tests, absence of an effective connection with an Indonesian permanent establishment, and, critically, evidence linking the KEXIM guarantee to the specific debt-claim or tranche generating the interest. The expert interview identifies guarantee linkage and the consistency of the evidentiary chain as the main areas of audit risk. A defensible treaty file should combine the Loan/Facility Agreement, KEXIM Guarantee Agreement or Certificate, Coverage Schedule, KEXIM confirmation, Form DGT/CoR, beneficial-owner evidence, and payment trail. Accordingly, zero withholding is the outcome of cumulative treaty and evidentiary tests rather than an automatic consequence of KEXIM involvement.
References
Ahmad, B., Siregar, H., & Maulana, T. N. A. (2017). Penggunaan hedging oleh perusahaan telekomunikasi yang tercatat pada Bursa Efek Indonesia. Jurnal Aplikasi Bisnis dan Manajemen, 3(3), 435-446. https://doi.org/10.17358/jabm.3.3.435
Aji, W. K., Khosafiah, R. K., Jusikusuma, T. D., & Irawan, F. (2022). Penyelesaian sengketa pajak atas gugatan dan sanggahan: Suatu perspektif keadilan. Jurnal Pajak Indonesia, 6(1). https://doi.org/10.31092/jpi.v6i1.1601
Al, L., Prawira, I. F. A., & Nurrizkiana, R. (2026). Analisis terhadap Putusan Pengadilan Pajak Nomor PUT-015148.16/2020/PP/M.VIIIA Tahun 2025: Studi kasus sengketa pajak pertambahan nilai. Jurnal Akuntansi, Perpajakan dan Auditing, 6(3). https://doi.org/10.21009/japa.0603.11
Angelica, B. (2024). Juridical analysis of relationship between beneficial owner concept & implementation of Double Taxation Avoidance Agreement (case study of Decision Number 736/B/PK/PJK/2013). Jurnal Akta, 11(3), 819-833. https://doi.org/10.30659/akta.v11i3.39753
Anggraeni, N. A., Purwantini, A. H., & Prasetya, W. A. (2024). Pengaruh profitabilitas, leverage, ukuran perusahaan, sales growth, dan thin capitalization terhadap tax avoidance. Borobudur Accounting Review, 4(1), 29-40. https://doi.org/10.31603/bacr.11438
Apriliasari, V. (2019). Interpretation issue of the Principal Purpose Test. Jurnal Pajak Indonesia, 3(2), 12-19. https://doi.org/10.31092/jpi.v3i2.734
Ardianyah, A. (2021). Implementasi konsep beneficial owner atas pemanfaatan tax treaty Indonesia-Belanda (studi sengketa pajak terkait pembayaran bunga). IBLAM Law Review, 1(3), 155-172. https://doi.org/10.52249/ilr.v1i3.31
Butarbutar, R. (2022). Legal formulation to overcome base-erosion and profit-shifting practices of digital-economy multinational enterprise in Indonesia. Padjadjaran Jurnal Ilmu Hukum, 9(3), 323-342. https://doi.org/10.22304/pjih.v9n3.a2
Cintya. (2026). Pengaruh financial performance, debt covenant terhadap tax avoidance dengan transfer pricing sebagai variabel mediasi pada perusahaan sektor non-cyclical di Bursa Efek Indonesia. MABIS, 17(1).
Daniel, D., & Handayani, P. (2025). The effect of capital intensity, inventory intensity, and debt covenant on tax avoidance with sales growth as a moderating variable. Fokus Ekonomi: Jurnal Ilmiah Ekonomi, 20(2), 297-304. https://doi.org/10.34152/fe.20.2.297-304
Direktorat Jenderal Pajak. (2018). Peraturan Direktur Jenderal Pajak Nomor PER-25/PJ/2018 tentang Tata Cara Penerapan Persetujuan Penghindaran Pajak Berganda.
Direktorat Jenderal Pajak. (2026). Pengumuman Nomor PENG-2/PJ.09/2026 tentang Pelaksanaan Peraturan Menteri Keuangan Nomor 112 Tahun 2025 tentang Tata Cara Penerapan Persetujuan Penghindaran Pajak Berganda.
Direktorat Jenderal Pajak. Agreement between the Republic of Indonesia and the Republic of Korea for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income (modified by MLI).
Dokumen Internal PT XYZ. (2025a). Surat tanggapan atas hasil penelitian keberatan PPh Pasal 26 Masa April 2020 (identitas dianonimkan).
Dokumen Internal PT XYZ. (2025b). Surat tanggapan atas hasil penelitian keberatan PPh Pasal 26 Masa Mei 2020 (identitas dianonimkan).
Dokumen Internal PT XYZ. (2025c). Surat tanggapan atas hasil penelitian keberatan PPh Pasal 26 Masa Oktober 2020 (identitas dianonimkan).
Dokumen Internal PT XYZ. (2025d). Surat tanggapan atas hasil penelitian keberatan PPh Pasal 26 Masa November 2020 (identitas dianonimkan).
Edisa. (2025). Pengaruh thin capitalization, transfer pricing dan sales growth terhadap penghindaran pajak yang dimoderasi oleh komisaris independen.
Effendy, T., Salia, E., Suharyono, & Mahfuz, A. L. (2025). Sengketa pajak dalam sistem self-assessment: Tantangan dan solusi di Indonesia. Jurnal Intelektualita, 14(1), 200-218. https://doi.org/10.19109/intelektualita.v14i1.27639
Endarta, G. C., Luayyi, S., & Magdalena, F. (2026). Minimasi pajak sebagai pemoderasi pada pengaruh kontrak utang, mekanisme bonus, dan koneksi politik. Jurnal Riset Akuntansi, 4(2). https://doi.org/10.54066/jura-itb.v4i2.3865
Fasita, E., Firmansyah, A., & Irawan, F. (2022). Transfer pricing aggressiveness, thin capitalization, political connection, tax avoidance: Does corporate governance have a role in Indonesia? Riset Akuntansi dan Keuangan Indonesia, 7(1), 63-93. https://doi.org/10.23917/reaksi.v7i1.17313
Hamdani, A., Haskar, E., & Farda, N. F. (2023). Upaya penyelesaian sengketa pajak melalui keberatan pajak. Amnesti: Jurnal Hukum, 5(2). https://doi.org/10.37729/amnesti.v5i2.3024
Hasanah, N., Anggraeni, R. F. D., Pahala, I., & Wahono, P. (2025). Analisis sengketa pajak di Indonesia: Perspektif konsultan dan fiskus. JIIP - Jurnal Ilmiah Ilmu Pendidikan, 8(2), 1342-1349. https://doi.org/10.54371/jiip.v8i2.7040
Kementerian Keuangan Republik Indonesia. (2025). Peraturan Menteri Keuangan Nomor 112 Tahun 2025 tentang Tata Cara Penerapan Persetujuan Penghindaran Pajak Berganda.
Klasen, A., & Janus, H. (2023). Improving export credit agency impact through full faith and credit. Journal of World Trade. https://doi.org/10.54648/TRAD2023032
Klasen, A., & Vassard, J. (2023). The new OECD arrangement on export credits: Breakthrough or bad compromise? Global Policy. https://doi.org/10.1111/1758-5899.13255
Kurniawan, A., & Rahayu, N. (2022). Tantangan pengaturan anti-treaty shopping di Indonesia setelah berlakunya Multilateral Instrument. Owner: Riset dan Jurnal Akuntansi, 6(4), 3792-3803. https://doi.org/10.33395/owner.v6i4.1095
Lestari, N., Maylaffaiza, N., Hidayati, R. A., & Rizki, N. (2024). Transaksi derivatif lindung nilai (hedging) pada PT Amman Mineral Internasional Tbk. (2023). Akuntoteknologi: Jurnal Ilmiah Akuntansi dan Teknologi, 16(2). https://doi.org/10.31253/aktek.v16i2.3336
Listiana, R., & Primasari, N. S. (2022). Pengaruh market to book value, liquidity, leverage, Altman Z-Score, firm size, dan profitabilitas terhadap keputusan hedging. Jurnal Akuntansi dan Keuangan, 13(2). https://doi.org/10.36448/jak.v13i2.2743
Mahardika, R., & Irawan, F. (2022). The impact of thin capitalization rules on tax avoidance in Indonesia. Jurnal Pajak Indonesia, 6(2S), 651-662. https://doi.org/10.31092/jpi.v6i2S.1972
Malvinas, F., Syahbandir, M., & Hasyim, S. (2018). Analisis tentang beneficial owner dalam Persetujuan Penghindaran Pajak Berganda Indonesia-Belanda dalam sengketa banding PT Indosat Tbk di Pengadilan Pajak. Syiah Kuala Law Journal, 2(2), 276-286. https://doi.org/10.24815/sklj.v2i2.11634
Mangoting, Y. (2003). Tinjauan aspek Pajak Penghasilan atas transaksi instrumen keuangan derivatif swap. Jurnal Akuntansi dan Keuangan, 5(1), 75-89. https://doi.org/10.9744/jak.5.1.pp.75-89
Muftiasa, A., Wibowo, L. A., Hurriyati, R., & Rahayu, A. (2023). Kebijakan lindung nilai (hedging) pada perusahaan untuk menjamin kinerja perusahaan.
Natalia, I., & Widyadhana, F. (2021). Thin capitalization dan penghindaran pajak setelah penerapan PMK 169. Keberlanjutan: Jurnal Manajemen dan Jurnal Akuntansi, 6(2), 106-115. https://doi.org/10.32493/keberlanjutan.v6i2.y2021.p106-115
Nivia. (2023). Dualisme pengaturan beneficial ownership di Indonesia. Mimbar Hukum, 35(1), 29-58. https://doi.org/10.22146/mh.v35i1.5155
Panjaitan, A. E. M., Pangaribuan, H., & Susanti, M. (2026). The effect of capital intensity, thin capitalization, and environmental disclosure on tax avoidance. EKOMA: Jurnal Ekonomi, Manajemen, Akuntansi, 5(3). https://doi.org/10.56799/ekoma.v5i3.16164
Petkova, K., Stasio, A., & Zagler, M. (2026). Bilateral tax competition in double tax treaties between developed and developing countries. International Tax and Public Finance, 33, 28-68. https://doi.org/10.1007/s10797-025-09884-x
Pýcha, M. (2021). Fair insurance cover for export credit under OECD pricing framework. Prague Economic Papers, 30(5), 509-528. https://doi.org/10.18267/j.pep.779
Rahmadhani, G., & Lastanti, H. S. (2024). Pengaruh thin capitalization dan transfer pricing terhadap tax avoidance dengan kepemilikan institusional sebagai variabel moderasi. Journal of Tax and Business, 5(1). https://doi.org/10.55336/jpb.v5i1.157
Rahmansyuri, S., & Nadirah, I. (2025). Penyelesaian hukum sengketa pajak. PERAHU (Penerangan Hukum): Jurnal Ilmu Hukum, 12(2). https://doi.org/10.51826/perahu.v12i2.980
Rahmawati, W., & Syahwildan, M. (2024). Financial industry of Indonesian banking: Analysis of factors using derivative instruments on hedging decision making. COSTING: Journal of Economic, Business and Accounting, 7(5). https://doi.org/10.31539/costing.v7i5.10872
Ramadhan, M. R. (2023). The impact of thin capitalization rule on tax avoidance in Indonesia. Journal of Accounting and Investment, 24(2), 323-335. https://doi.org/10.18196/jai.v24i2.17036
Republik Indonesia. Undang-Undang Pajak Penghasilan sebagaimana telah diubah terakhir sesuai ketentuan yang berlaku.
Rivaldi, R. (2021). Global digital taxes in international trade and its urgence for indonesia.transnational business law journal.
Sa'adah, N., & Aulia, R. (2025). Reposisi pengadilan pajak kedalam sistem kekuasaan kehakiman: rekonstruksi pasca putusan mahkamah konstitusi nomor 26/puu/xxi/2023 melalui integrasi mahkamah agung.
Sari, D. P., & Ikhsan, S. M. (2026). Fair competition in the digital era: Indonesia’s tax reform through Significant Economic Presence. Jurnal Akta, 13(1), 319-335. https://doi.org/10.30659/akta.v13i1.48801
Sholichah, P. A., & Umaimah. (2026). The Effect of Multinationality, Transfer Pricing, and Thin Capitalization on Tax Avoidance Practices.
Silalahi, H. (2025). Indonesia Tax Sovereignty and The OECD International Tax Framework, Jurnal Inovasi Pajak Indonesia (JIPI).
Sitorus, E. T., Ardiansyah, Samosir, M., & Nainggolan, R. P. (2025). Analisis yuridis pengujian kebenaran materill atas ketentuan formil pada sengeketa pajak studi kasus putusan pengadilan pajak nomor 009988.16/2021/PP/M.IIIA Tahun 2023.
Sulistyani, T., & Azwina, D. (2022). Determinan keputusan hedging pada perusahaan manufaktur yang terdaftar di Bursa Efek Indonesia. Jurnal Ilmiah PERKUSI, 2(1), 23-31. https://doi.org/10.32493/j.perkusi.v2i1.17617
Supriyadi, S., Setiawan, B., & Bintang, R. M. (2019). Evaluasi lembaga keberatan dalam penyelesaian sengketa pajak yang adil di Direktorat Jenderal Pajak. Jurnal Pajak Indonesia, 2(2), 6-19. https://doi.org/10.31092/jpi.v2i2.640
Tambunan, M. R. U. D. (2024). Branch profit of upstream oil and gas based on tax treaty and production sharing contract in Indonesia. Veritas et Justitia, 10(1), 108-126. https://doi.org/10.25123/vej.v10i1.6538
Tampubolon, R. I., & Pati, U. K. (2024). Development of the principle of beneficial ownership identification of a corporation and their implications for tax paying obligation. Journal of Law, Society, and Islamic Civilization, 12(1), 61-67.
Tiono, A., & Sadjiarto, R. A. (2013). Penentuan beneficial owner untuk mencegah penyalahgunaan Perjanjian Penghindaran Pajak Berganda. Tax & Accounting Review, 3(2).
Utomo, L. P., & Hartanti, B. (2020). Determinan pengambilan keputusan hedging menggunakan instrumen derivatif valas. Management and Business Review, 4(1). https://doi.org/10.21067/mbr.v4i1.4611
van 't Riet, M., & Lejour, A. (2025). Developing countries, tax treaty shopping and the global minimum tax. Public Finance Review, 53(6), 671-732. https://doi.org/10.1177/10911421251334849
Velayati, M. A. A., & Muhammad, D. W. (2024). Pengaturan Hukum Terhadap Perilaku Penghindaran Pajak Oleh Perusahaan Multinasional.
Verawaty, Jaya, A. K., & Megawati. (2019). Determinan pengambilan keputusan lindung nilai (hedging) dengan instrumen derivatif valuta asing pada perusahaan manufaktur.
Yusuf, T. V. H., Chrisdianto, D., & Tallane, Y. Y. (2023). Analisis peraturan Perjanjian Penghindaran Pajak Berganda terhadap pendapatan investasi Indonesia. Jurnal Akuntansi, Keuangan, Perpajakan dan Tata Kelola Perusahaan, 1(2), 152-159. https://doi.org/10.59407/jakpt.v1i2.225
