Council calls for lower tax, duties

JAKARTA (JP): City council will soon submit a proposal to scrap tax and import duties on spare parts for public buses during a meeting scheduled next week with members of the House of Representatives (DPR), a councilor said on Wednesday.

"The ailing public transportation industry urgently needs help. It has become crucial to either eliminate, or at least substantially cut the tax and import duties for spare parts," Ali Wongso, head of the council's Commission D for development affairs, said.

In a letter dated July 30 to DPR Commission IV for transportation, Council Speaker Edy Waluyo also suggested the House members to invite representatives from the National Development Planning Board, Ministry of Finance, Ministry of Transportation and Ministry of Trade and Industry to the meeting, Ali said.

DLLAJ deputy head Dimmy Kirbrandiman reminded that owners of bus companies had already expressed fears of closing down business by at least December this year should the central government fail to intervene or if the local authorities -- under public pressure -- decided to temporarily not hike fares. (ylt)