52 export firms deny special status facility

JAKARTA (JP): Fifty-two export-related companies or 14 percent of the 450 companies applying for a special status facility from the government had failed to obtain approval from the related agencies, according to the industry and trade ministry.

As of last October, the Directorate General of Tax had rejected 16 companies; the central bank, Bank Indonesia, had rejected 23 firms; and the Agency for the Facilitation of Export Activities (Bapeksta) had rejected 13, the ministry said yesterday.

The companies awarded the facility -- exporter with special status (PET) -- receive tax incentives from the government. The application for the facility must be approved by several governmental agencies.

Antara reported that the tax directorate general rejected the requests of 14 companies in the textile industry, one in the leather industry and another one in the education and sports industry.

The news agency said the reasons for rejecting the applications were not disclosed.

The central bank refused 22 textile industry firms and one in the leather industry.

Bapeksta rejected the applications of seven textile companies, five leather companies, one electronic company.

As of October, nine textile companies and two leather companies were still waiting for approvals from the central bank and Customs and Excise.

The ministry said one company was still waiting for approval from the tax directorate general, BI and Bapeksta.

Five companies were awaiting approvals as they still lacked the required data, it said.

To obtain a PET facility a firm must have a clear and accurate office or factory address and have paid their taxes.

The companies must not have tax problems and must have filed their tax returns in at least two consecutive years. They must not have had problems with customs, or with loans.

The ministry said the 387 companies which had been granted the status included 279 textile companies, 75 leather producers, and 12 electronic companies. (das)