loader

Ministry of Industry Expects Ministry of Finance to Pass Beleid Industrial Tax Incentives

17 May 2018 | Author : Manufakturindo
image berita
The Ministry of Industry is still expecting the Ministry of Finance to provide incentives in the form of super deductible tax types as they propose. According to the Ministry of Industry, it is important that investors in Indonesia do not move to other countries that apply greater incentives.

Through the super deductible tax, the government authorizes the company to determine the cost of R & D and vocational activities higher than it should be when reporting taxes. In this way, the company can enjoy a lower tax than it should.

Head of Industrial Research and Development Agency (BPPI) of the Ministry of Industry, Ngakan Timur Antara, said that Kemenkeu basically approved the proposed tax incentives for industries investing in vocational and research and development (R & D) sectors.

However, until now the Ministry of Finance is still deepening the study of the beleid. Some of the things to be studied are percentages and incentive-giving mechanisms, although Kemenperin has proposed a 200% deductible tax for vocational and 300% for R & D.

According to him, the super deductible tax must be above 100%, at least 200% and 300%, because other countries implement super deductible tax at 200%. Implementing under those mentioned number will make investors move to another country.

Another thing that is still in the discussion of kemenperin and kemenkeu is a matter of supervision and verification of R & D activities. The government feels the need to ensure that the activities undertaken by a company have met the requirements before giving the incentive.

According to him, there must be an institution that conducts the assessment. Ministry of Industry also proposes itself as an Institution that will assess that the activities undertaken by the company are an R & D activity or not.

Ngakan estimates that tax incentives will soon be released in June this year. Airlangga stated that they currently still discussed the definition of research and development (R & D), and when it is finished all then the beleid can be launched soon.

The tariff proposed by the minister was a pretty warm discussion because Coordinating Minister for Economic Affairs Darmin Nasution considered the amount of tax deduction only about 100%.

However, the Minister of National Development Planning / Head of Bappenas Bambang P.S. Brodjonegoro considers that the super deductible tax must be above 100% because the average country in Asean provides an incentive of up to 200%.



Loading...

Related News

Love Domestic Products and...

The government through the Ministry of Industry continues their campaign theme: love the domestic pr...

Readmore..

Capital Investment in the...

The development of the manufacturing industry in the first semester of 2018 records positive results...

Readmore..

Krakatau Nippon Steel...

On Tuesday, August 7, 2018, PT. Krakatau Nippon Steel Sumikin (KNSS) opening their new plant in Cile...

Readmore..

Companies