Investigate Arbamass company

Investigate Arbamass company

From Bisnis Indonesia

I read a report in a newspaper saying that PT Arbamass, owned by Arie Sigit Soeharto and Emir Baramuli, has obtained permission from Warsito Rasman, director general for Development of Regional Autonomy, to monopolize the sale of alcoholic drinks in Indonesia as of Feb. 19, 1994. According to Emir Baramuli, the sale of alcoholic drinks is controlled by attaching a sticker on the bottle. The sticker costs Rp 600 to Rp 700 and PT. Arbamass gets 15 percent commission from the sale of the stickers. The sale of the strong drinks is recorded at about 250 million liters a year.

What surprises me is that after about 50 years of independence, we turn back to the colonial period, in which the sale of alcoholic drinks is contracted to a private company. Can't the government, with all its instruments, control the sale of the stuff? Or is it only a means of creating a new source of income? An invented fortune?

This should call for the attention of Director General of Tax Fuad Bawazier that based on Law No 10/1994 concerning Income Tax, article 4 paragraph (1) letter P which stipulates that the object of the income tax is the addition of net wealth that is derived from untaxed income. So it is appropriate for the government to investigate the investments of PT Arbamass to see whether the investment of the company is derived from taxed or untaxed income.

The government should avoid double taxation scheme.

SUHARSONO HADIKUSUMO

Jakarta