Port suspends taxation

Port suspends taxation

JAKARTA (JP): Jakarta's Tanjung Priok port authority has suspended a ruling which required international shipping lines using the port to pay a 10 percent value-added tax on stevedoring activities.

Harmani, a director of state-owned PT Pelabuhan Indonesia II which manages the port, said the decision was made after considering protests from three shipping associations -- the Indonesian National Shipowners Association, the Asia North America Eastbound Rate Agreement and the Overseas Shipowners Representative Association.

The ruling, which was issued on March 5, required port users to pay value-added tax for services at seaport terminals, stockpiling facilities, conventional harbors and container terminals.

Harmani was quoted by Antara as saying that the ruling would be suspended once there is a notice from the Ministry of Finance. (pwn)