Special fund for the poor obligatory

Special fund for the poor obligatory

JAKARTA (JP): President Soeharto has required individual and
corporate taxpayers to donate 2 percent of their after-tax
incomes to help the poor, Antara reported yesterday.

The rule contained in Presidential Decree No. 92 was issued on
Dec. 4. The news agency did not say if it applies to all
taxpayers or only to those whose after-tax incomes exceed Rp 100
million a year, as Soeharto once suggested.

The rule is retroactive from the start of the 1996 fiscal
year.

The decree said efforts by "able taxpayers" must be
intensified to assist families in "pre-prosperity" and
"prosperity I" categories.

Soeharto broached the idea early this year, calling on rich
people to voluntarily contribute to the Self-reliant Prosperity
Fund which he set up for this purpose.

In September, he told tycoons in Bogor that only half of those
earning more than Rp 100 million had joined the endeavor to help
the poor.

By September, the fund had accumulated Rp 321 billion from
contributions by 3,441 corporate taxpayers and 2,082 individuals.
The President said there were 6,472 corporations and 4,553
individuals earning more than Rp 100 million yearly after tax.
(emb)