Five tax-related bills deliberated<\/p>\n
JAKARTA (JP): House of Representatives members have demanded
\nthe bill on local taxes and fees not increase the burden of
\nbusinesses and local administrations.<\/p>\n
Legislator Setyadji Lawi from the Indonesian Democratic
\nfaction said yesterday the bill should eliminate unnecessary
\nlocal taxes and levies to reduce business' high costs of
\nbusinesses.<\/p>\n
But he also said the bill should not reduce local
\nadministrations' revenues.<\/p>\n
\"We sense a pessimistic belief or even fear among local
\nadministrations that their revenues will decline (due to the
\nintroduction of the bill),\" Setyadji said.<\/p>\n
Yesterday, the government and the House started deliberating
\nthe bill and four other tax-related bills. They include the tax
\non the transfer of land and buildings, tax collection with
\ndistress warrants, tax courts and non-tax revenue bills.<\/p>\n
Minister of Finance Mar'ie Muhammad said the introduction of
\nthe five bills was to increase revenues for both the central
\ngovernment and local administrations and to provide the business
\nsector with legal certainty.<\/p>\n
Legislator Hartini Mochtar Kasran said \"suggestions and
\nproposals from local administrations should be taken into
\nconsideration, especially on matters related to new taxes which
\nare not yet accommodated in the bill and subject to further
\nregulations\".<\/p>\n
Sharing Hartini's view Setyadji said the introduction of new
\ntaxes, especially those on gasoline, needed further deliberation
\nbecause it would affect most people and industry.<\/p>\n
Setyadji said his faction hoped the bill would help develop an
\ninstitutionalized local tax collection system to prevent the
\nemergence of illegal levies.<\/p>\n
\"We hope the system would prevent loopholes and minimize
\nopportunities for collusions between tax collectors and tax
\npayers,\" Setyadji said.<\/p>\n
Both the Indonesian Democratic and Golkar factions wanted
\nfurther deliberations over the five percent rate stipulated in
\nthe tax on the transfer of land and building bill.<\/p>\n
Setyadji also said his faction wanted the bill to exempt cheap
\nhouses with maximum retail price of Rp 30 million (US$12,500)
\nfrom the tax on the transfer of land and building.<\/p>\n
Commenting on the tax court bill Hartini said the Golkar
\nfaction wanted the deliberating team to clarify the Supreme
\nCourt's position in the tax court system.<\/p>\n
Under the tax court bill all tax court decisions are final.
\nThere is no appeal mechanism stipulated in the bill.<\/p>\n
The tax court will replace the current Tax Arbitration Council
\nwhich businesspeople saw as ineffective in settling tax disputes.<\/p>\n
Both Hartini and Setyadji commended the government's
\ninitiative in presenting the non-tax revenue bill, which was
\nexpected to realign all government incomes raised from sources
\nother than taxation.<\/p>\n
Under the bill, all such incomes should be accounted for in
\nthe annual state budget. (rid)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/five-tax-related-bills-deliberated-1447893297",
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