Business Leaders Respond to Statements on Tax Restitution Delay
The Indonesian Employers’ Association (Apindo) assesses that plans to delay or halt tax restitutions require careful and thorough review before being formulated into policy. This is because it would have broad impacts on the performance of the national business world.
Meanwhile, the Indonesian Chamber of Commerce and Industry (Kadin) views the plan to delay or halt tax restitutions as risking the emergence of new controversies and triggering investor doubts regarding legal certainty and policy in Indonesia.
“Apindo is observing the discourse that has been developing recently regarding plans to halt tax restitutions as an optimisation of national fiscal policy,” said Chairman of Apindo’s Taxation Committee, Siddhi Widyaprathama, in an official statement, quoted on Monday, 13 April 2026.
He stated that as a strategic partner of the government in national economic development, the business world is committed to continuously strengthening the foundation of the national economy through measured and sustainable policies.
Siddhi revealed that the business world recognises the current global geopolitical situation bringing real challenges to supply chains and world economic stability. Although they have no control over external factors, entrepreneurs have the ability to synchronise internal policies. Synchronisation of fiscal policies aligned with the needs of the real sector will be crucial for maintaining domestic economic resilience in the current conditions.
According to Siddhi, tax restitution is a mechanism that has been clearly regulated by legal provisions. Restitution funds are essentially excess upfront tax payments that technically should be returned to companies and will directly impact the operational cash flow of companies.
The smooth process of tax restitutions enables the business world to continue fulfilling its operational obligations, from production chains to fulfilling workers’ rights.
He explained that one of the main pillars of a healthy investment climate is the existence of legal certainty. Thus, consistency in the application of tax rules, including the tax restitution mechanism, is a fundamental signal for the business world. This is very important to provide a sense of security for business actors in planning long-term investments and maintaining investor trust in regulatory stability in Indonesia.
The business world collectively is the main pillar of the national GDP and the engine of job creation. Tax policies are not merely revenue instruments, but also stimuli to ensure the business world remains competitive and continues to contribute optimally to the national economy. By maintaining a balance between fiscal functions and liquidity in the real sector, Apindo ensures the economic engine runs optimally to achieve the expected growth.
Apindo, he said, fully supports the supervisory and audit functions carried out by tax authorities. They believe that accountable supervision, if running hand-in-hand with efficient services, will create good governance standards. Their focus is to ensure administrative procedures continue to support the smoothness of national economic activities.
“We believe that as strategic partners, harmonious coordination between government policies and the operational needs of the business world is the key to stability. Let us optimise the domestic policies we have to achieve quality and sustainable economic growth,” said Siddhi.
Meanwhile, Vice Chairman of Kadin for Industry Affairs, Saleh Husin, stated that tax restitution is the right of the business world over excess tax payments that have been deposited to the state. “Do not let policies emerge that instead create uncertainty and impact investment interest,” said Saleh in a written statement, quoted on Monday, 13 April 2026.
According to him, government policies need to provide peace of mind and business certainty. Because, in uncertain economic conditions, business actors must maintain business continuity to retain employees, create new jobs, and drive economic growth.
In the global economic pressures triggered by tariff wars and geopolitical conflicts, said Saleh, maintaining existing workers is not an easy matter, let alone creating new jobs.
The statement is Kadin’s response to the statement by Chairman of DPR Commission XI, Mukhamad Misbakhun, in a dialogue on a national TV station, Wednesday, 8 April 2026. Misbakhun stated that delaying restitutions could increase state revenues by up to Rp500 trillion and serve as a fiscal buffer amid the global energy price surge.
According to Saleh, the business world assesses that policy stability and business certainty are the main factors for maintaining investor confidence and national economic sustainability. Kadin also views that in the still turbulent global situation, the business world is currently struggling to survive, even just to maintain business continuity. Business actors need policy certainty, not additional uncertainty that could disrupt the investment climate.
He stated that the business world should be given peace of mind and business certainty, not instead faced with policies that potentially complicate the business climate, especially in the manufacturing sector that employs millions of workers.
Saleh reminded that the current economic conditions are not in a normal situation. Therefore, all stakeholders, both government, legislature, judiciary, business world, and academics, need to synergise in facing global pressures that directly impact the domestic economy.