On 9 August, the Risk-Based OSS was officially launched by BKPM. After the official launch, the 2017 KBLI (Indonesian Standard Industrial Classification) that was previously used as a reference for registering business activities in OSS will no longer be used. This is because there is a new KBLI that applies, namely KBLI 2020.

One of the changes that occurred from KBLI is that now business actors can choose more business fields than before. This is due to the addition of business categories in KBLI 2020 as well as a decrease in business scale in some business activities. For example, the business sector of the cracker, chips, peyek and the like industry with KBLI code 10794 is now included in the list of business fields with certain requirements, with the condition of 100 per cent domestic investment (PMDN). This means that PT PMDN can now choose this business field from what was previously only allowed to be chosen by MSMEs.

Then, are there other changes from KBLI 2020 that also have an impact on the establishment of PT? To find out the answer, Kontrak Hukum will discuss it below. Let's see until the end!

KBLI 2020

Procedurally, there is actually no change in the process of making a PT. Business actors who want to establish a PT still have to make a company deed containing the articles of association and by-laws changes at a notary, then apply for the establishment of a PT by registering the deed with the Ministry of Law and Human Rights to obtain authorisation as a legal entity. However, when a PT will apply for a business licence, there are changes that need to be considered as a result of the implementation of OSS RBA and KBLI 2020.

For information, KBLI 2020 is regulated in Government Regulation No. 5 of 2021 and BPS Regulation No. 2 of 2020. In this regulation, business actors who are about to start and carry out business activities are now required to fulfil:

• Basic business licensing requirements (including the suitability of space utilisation activities, environmental approval, building approval, and certificate of function) and/or.
• Risk-based business licensing (legality granted to businesses to start and run their business and/or activities based on the level of potential for injury or loss from a hazard or combination of hazards).

Because business licensing is risk-based, each KBLI title also contains risk parameters and risk levels of business activities and this is one of the important things that business actors need to pay attention to. The implementation of the intended risk level is carried out through :

• Identification of business activities.
• Hazard level assessment (health, safety, environment, and/or resource utilisation and management aspects).
• Assessment of the potential occurrence of hazards (conducted by taking into account the type of business activity, business activity criteria, location of business activities, limited resources, and/or volatility risk).
• Determination of risk level and business scale rating (obtained based on the assessment of the level of hazard and potential hazard occurrence).
• Determination of the type of business licence.

Based on the above assessment, business activities will then be classified into business activities with low, low medium, high medium, and high risk levels.

Business licensing for business activities with a low risk level is in the form of NIB which can be used as the identity of business actors as well as legality to carry out business activities, for business activities with a medium risk level, licensing is in the form of NIB and standard certificates, while for high risk levels, business licensing is in the form of NIB and permits. The permit in question is an approval from the government / local government for the implementation of business activities that must be fulfilled by business actors before carrying out their business activities.

In addition to business licensing, another change that needs to be considered by KH Pals who want to establish a PT is the KBLI code for KH Pals' business. In KBLI 2020, there is a structure in the form of shifting or grouping an activity from one classification to another, and adding new classifications due to the development of economic activity so that there are additional groups of independent business fields.

For example, if a PT conducts business activities as an intermediary for the sale of tour packages, both online and offline, packaged by travel agencies; booking land, sea and air transport tickets, both for domestic and foreign destinations; booking accommodation, restaurants, and tickets for cultural arts performances, as well as visits to tourist destinations or attractions; and taking care of travel documents in the form of passports and visas or other equivalent documents, the KBLI code that must be selected is 79111 as a travel agent activity. However, if the PT only book and sell tickets for air, sea and land transport, both for domestic and foreign destinations, the PT must choose KBLI code 79119 as other travel agent activities..

So, it is important for business actors to know specifically the business activities carried out in order to choose the right KBLI number for the business to be established. When a business actor misplaces the KBLI number, the NIB application may be rejected, with the result that the business licence and operational licence for the business entity to be established cannot also be applied for. Not only that, the business licences required may also be different even though the business activities are similar. Business actors who carry out business activities without the appropriate licences may be subject to sanctions.

Source: kontrakhukum.com