Tax free in Batam<\/p>\n
By virtue of Government Regulation No. 39\/1998, the exemption
\nof value added and luxury taxes was revoked as of March 31, 1998.
\nThe government regulation was part of the second letter of intent
\nbetween Indonesia and the International Monetary Fund (IMF).<\/p>\n
For the people, the government and the private sector in
\nBatam, the exemption of the value added and luxury taxes are no
\nlonger a matter of procedure but a must. The central government
\nseems to have no choice but to agree with it.<\/p>\n
In case of possible questions from other regions about the
\nmatter, local officials may say companies in Batam must still pay
\nincome taxes although they are exempted from value added taxes
\nand luxury taxes.<\/p>\n
Batam seems to be trapped, or even to have trapped itself, so
\nthat without the exemption of the value added tax, investors will
\nnot come. Such a facility is indeed useful to investors but is
\nnot the most important thing. The Survey Center for International
\nPrivate Enterprise said there are at least 12 factors which are
\nusually taken into considerations by investors, with tariffs and
\ntaxation ranking ninth.<\/p>\n
Among the other factors in attracting investors are the local
\nmarket's characteristics, currency risks, trade policy,
\ngovernment regulations, political stability and macroeconomic
\npolicy.<\/p>\n
-- Bisnis Indonesia, Jakarta<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/tax-free-in-batam-1447893297", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }