Tax oddities

Tax oddities

From Koran Tempo

The exit tax for overseas departures is a part of income
taxes, but strangely, even children, earning no income are
required to pay it. On the other hand, taxpayers are not only
limited to certain provinces in Indonesia, but oddly, passport
holders from some Sumatra provinces are not obliged to pay this
incredulous exit tax.

The scarcity of job opportunities at home has forced millions
of Indonesians to seek menial labor abroad. Successful ones remit
foreign exchange back home, so these heroes actually deserve a
tax relief.

Many of our migrant workers in Singapore can go home more than
four times a year, but they still pay the tax with a few
exceptions. Isn't it fairer and wiser to grant them all total
exit-tax exemption?

Moreover, with our entry into AFTA and other such regional
arrangements, it is more appropriate to allow our citizens
greater freedom in their pursuit of overseas opportunities by
relieving them of this exit tax, which no other country has
hanging over their citizens and greater movement will eventually
also lead to increased state revenue.

ACHMAD SOEKRY
Singapore