TEMPO Interactive, Jakarta: Entrepreneurs are pushing the government to realize its promise to provide tax holidays.<\/p>\n
\u201cDuring this uncertain situation, we\u2019re asking the government not just to talk about giving tax holidays. Take a concrete measure and complete the Tax Bill,\u201d Sofjan Wanandi, General Chairman of Indonesian Businesspeople Association, told Tempo, yesterday (11\/12).<\/p>\n
Previously, the government was considering tax holidays in the form of tax cuts, subsidies or pricing policies for attracting investment.<\/p>\n
One of the sectors that will probably be provided incentives is the bio-fuel industry as it is included as part of the national scale energy policy framework (Koran Tempo, December 11).<\/p>\n
According to Sofjan, the entrepreneurs\u2019 demand for tax exemptions is already too late.<\/p>\n
The reason is that several multinational companies have already planned to relocate their factories abroad as they do not receive support from the government.<\/p>\n
This is despite, he said, the fact that the industries are pioneer ones.<\/p>\n
\u201cWe have been asking for incentives for a long time, but nothing has been done. The Investment Decree should have already been issued, but the government reasoned that it must await the tax provisions first,\u201d said Sofjan.<\/p>\n
He said that it was better that the tax holidays be addressed only to capital-intensive industries that really need them, such as agriculture and bio-fuel.<\/p>\n
\u201cIncentives must be given to industries that are pioneers from the aspects of technology, opening up markets and creating a lot of job opportunities. Not for the mining industry, for example,\u201d said Sofjan.<\/p>\n
Derom Bangun, General Chairman of the Indonesian Palm Oil Producers Association, said he was of the opinion that all that had to be said about tax holidays had been said almost 10 years ago.<\/p>\n
\u201cDespite it being too late, it is a good sign that the government is serious about supporting investment development,\u201d he said.<\/p>\n
The tax holidays are aimed at Indonesia not losing out to other countries in terms of incentives.<\/p>\n
Derom said he agreed if bio-fuels were indicated as an industry to receive incentives.<\/p>\n
\u201cBecause this industry is a pioneer which has high risks and uncertain market,\u201d he said.<\/p>\n
Derom went on to say that it made sense for Indonesia\u2019s palm oil industry to receive incentives as it is the largest in the world.<\/p>\n
RR ARIYANI<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/entrepreneurs-demanding-tax-exemption-1197525373", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }