**3.2 General overview of the authority of land deed officials**

Land Deed Officials (in Dutch: *land titles register*) hold crucial position and roles in the national lives of the nation as a whole due to the authority endowed on them to make deeds of land rights transfer as well as other deeds [18]. Article 1 of Government Regulation No. 37 Year 1998 concerning the Regulation on the Office of Authorized Land Deed Official mentioned the following: (a) Land Deed Official is a public official endowed with the authority to make authentic deeds concerning certain legal actions involving land rights or right of ownership over strata title units; (b) Temporary Land Deed Official is a government official appointed temporarily *ex officio* to fulfill the duties of a Land Deed Official by making Land Deed in regions lacking of sufficient officials; and (c) Special Land Deed Official is an official of the National Land Institution appointed *ex officio* to fulfill the duties of a Land Deed Official by making certain special Land Deeds in order to implement certain Government program or mandate.

The legally-endowed authority of the Land Deed Official (in Dutch: *autoriteit* or *gezag*) to make authentic deeds concerning certain legal actions involving land rights or right of ownership over strata title units as well as his other responsibilities and authorities have been regulated in Article 2 of Government Regulation No. 37 Year 1998

#### *Analysis of Transfer Tax Imposition on Properties Exchange in Indonesia DOI: http://dx.doi.org/10.5772/intechopen.112430*

concerning the Regulation on the Office of Land Deed Official i.e., that: "the Land Deed Official is mainly responsible to undertake in parts the land registration process by making certain deeds to be furnished as evidence of the occurrence of certain legal action concerning land rights or right of ownership over strata title units, which shall serve as as the ground for the registration of land data modifications resulting from said legal action," the exchange of properties being only one of such actions.

In making the Deed of Properties Exchange, the Land Deed Official shall defer to all regulations in the Ministry of Agrarian Affairs and Spatial Management/Head of the National Land Institution Regulation No. 8 Year 2012 concerning the Amendment on State Minister for Agrarian Affairs/Head of the National Land Institution Regulation No. 3 Year 1997 concerning the Implementing Stipulations of Government Regulation No. 24 Year 1997 concerning Land Registration.

The Deed of Properties Exchange (in Dutch: *akte uitwisseling*) is quintessential in the leveraging process of land and/or bangunan rights from one party to another and the other way around. In addition to the instructions given through the Ministry of Agrarian Affairs and Spatial Management/Head of the National Land Institution Regulation No. 8 Year 2012, the comparition and substance parts in the anatomy of the Deed of Properties Exchange are where particular attention shall be paid in the making of the Deed [19].

The comparition part of the Deed of Properties Exchange (in Dutch "*comparitie akte van uitwisseling*"), is part of the Deed of Properties Exchange which elaborates the identity of the parties involved, including the full name, place and date of birth, nationality, occupation, address, and national identification number. Further, the capacity of the respective parties to undertake the legal action through the Deed is also elaborated, so as to giving legitimacy of said action, be it representing oneself, another person(s), certain business, or legal entity. The parties in the case at hand undertook the legal action for and on behalf of themselves [20].

The next important part of the Deed of Properties Exchange is the substance (in Dutch "*de substantie akte van wisselen*"), which contains the intention of the parties to exchange their respective rights over land. Through the Deed of Properties Exchange as regulated in the Ministry of Agrarian Affairs and Spatial Management/Head of the National Land Institution No. 8 Year 2012, all 4 land rights can be exchanged, including: (1) the Right of Ownership; (2) the Right to Cultivate; (3) the Right of Building Use; and (4) the Right to Use [21].
