Moving to a new office brings out a set of tasks to get done: moving all the office equipment and furniture, informing the clients of the new address, and setting up the new office for the employees. However, there is also an important matter to address when changing the company address: properly adjust all corporate documents pursuant to the new address.
So, not only that you need to change your name cards, folders, and office stationeries, but you also have to change the corporate documents pursuant to the new address. Even though it seems simple, it is highly important that this is done timely and properly, to avoid key administrative issues which can delay your business and cause some damages and losses.
Therefore, the following are the basic corporate documents that you need to adjust following the change of your company address:
- ARTICLES OF ASSOCIATION
DOMICILE LETTER (SKDP)
After the address has officially changed, the lease agreement has been signed, the building purchase has been finalized and/or the building management has officially acknowledged that your Company is moving to the new address, it is time to apply for a new Domicile Letter in the new address.
Domicile Letters are issued by the local District PTSP Office. In Jakarta, there are 3 (three) types of recognized domiciles: (1) Virtual Office, (2) Co-working / Service Office, and (3) Own Office. In order to obtain the new Domicile Letter, your Company may be asked to provide the relevant data and information required.
BKPM LICENSES (FOR PMA COMPANIES ONLY)
For PMA Companies, it is highly important to make sure that each change of company address is followed by the application to alter their BKPM Licenses, either the Principle License or the Permanent Business License, pursuant to the current investment status of the PMA Company.
It is generally very simple to apply for Alteration of Principle License (Izin Prinsip Perubahan) or Alteration of Business License (Izin Usaha Perubahan) concerning change of Domicile. The required documents are the Notary Deed, in the event the change of address also change the Articles of Association, and the Domicile Letter from the District PTSP Office.
TAX IDENTIFICATION DOCUMENTS
One of the most important set of documents to properly change is the Company’s tax documents, which includes the Tax Identification Number (Nomor Pokok Wajib Pajak or NPWP), Tax Registration Certificate (Surat Keterangan Terdaftar or SKT), and Taxable Entrepreneur (Pengusaha Kena Pajak or PKP).
Why is it important to adjust the tax documents pursuant to the new office? This is because each Company is assigned a Tax Office pursuant to the Company’s own domicile, including for PMA Companies. The Tax Office closest to their district is the one who will be responsible as the Tax Office of the Company.
If the Company changes its address, therefore its tax domicile also changes. It is very important to make sure that the Tax Identification Documents are applied for mutation to the new Tax Office in the new address. Aside from that, ensure that all tax obligations has been paid before applying for mutation, to reduce the risk of delays.
CERTIFICATE OF COMPANY REGISTRATION (TDP)
After you have the Domicile Letter for the new address of the Company, and you have moved your Company’s data to the proper Tax Office, you have to adjust the Certificate of Company Registration, also known as Tanda Daftar Perusahaan. This is conducted at the Regency or Administrative City PTSP Office.
OTHER COMPANY BUSINESS LICENSES AND PERMITS
Aside from the 5 (five) documents as stated above, Companies must adjust their other business licenses and permits. For example, trading companies which conducts import must adjust their API-U or API-P (Angka Pengenal Impor or Import Identification Number) within 30 (thirty) days after the change of domicile address of Company commenced effectively.
Failure to update and/or adjust Company corporate documents, business licenses and permits with the new address can have significant impact to your Company, including temporary suspension on business activities until the business licenses and permits have been adjusted to the proper address.
Adjusting the Articles of Association only applies if the change of address causes your Company to move to a different Regency (Kabupaten) or Administrative City (Kotamadya) from the previous address. For example, your old office is in South Jakarta, and you move to Central Jakarta. This will cause the domicile of your Company, usually stipulated in Article 1 of Articles of Association, to change.
Pursuant to Article 19 of Law No. 40 of 2007 concerning Limited Liability Company (“Company Law”), all amendments of Articles of Association must be determined and agreed upon by the General Meeting of Shareholders (“GMS”). Therefore, the General Meeting of Shareholders shall agree on the amendment of the Article which stipulates the domicile of the Company.
If the address of your Company changes, but is still located within the same Regency or Administrative City as before, there is no requirement to adjust the Articles of Association.
HOW CAN SMART CONSULTING HELP YOU?
To ensure a smooth investment and business operation from the legal perspective, but also still focus on maintaining your business in Indonesia and reach your revenue target, it is advised for you to find capable and trusted lawyers or legal consultants for advice and assistance in ensuring your legal compliance with prevailingtrading laws and regulations.
SMART Consulting is an Indonesian Corporate Legal Services firm. We have assisted local and multinational companies in handling their corporate legal matters, including preparing resolutions and general meeting of shareholders for our Client, liaising with BKPM in regards to Client investment and business licenses, and acting in an advisory capacity for the Client. SMART has also assisted several companies in moving their offices and handling the legal implications of such change of address.
Contact Us Now to get your legal solution for your business goals, and still comply with the prevailing laws and regulations.