Visits to Australia exempt from tax
Visits to Australia exempt from tax
KUPANG, E Nusa Tenggara (Antara): Indonesians living in the
Indonesia-Australia economic cooperation areas -- such as
Kalimantan, Sulawesi, Maluku, Irian Jaya, East Nusa Tenggara and
West Nusa Tenggara -- are to be exempt from paying departure tax
when visiting Australia.
Joint chairman of the East Nusa Tenggara, West Timorese and
northern Australian Business Communication Forum, Ferdi Tanoni,
disclosed here Tuesday that the departure tax exemption was
provided for by a decree of the Indonesian minister of finance
dated May 19 last.
"This decree is a progressive measure. But it is regrettable
that it has not been properly publicized by the authorities
concerned, especially as it came into force on July 1," Ferdi
said.
According to him, the proposal for the foreign departure tax
exemptions, specifically for destinations in Australia, was
submitted by the Communication Forum and the East Nusa Tenggara
provincial government five years ago through the Australia-
Indonesia Development Area (AIDA) cooperation forum for further
deliberation at ministerial level in both countries.
"We made the proposal as the Rp 1 million exit tax when
visiting Australia by air is a great burden for most
entrepreneurs in eastern Indonesia," he said.
Ferdi pointed out that the Communication Forum and the East
Nusa Tenggara provincial government suggested the exemption in
order to enhance social, economic and cultural cooperation
between Eastern Indonesia, particularly East Nusa Tenggara, and
northern Australia.
The departure tax exemption, he said, has had a positive
impact on Kupang, capital of East Nusa Tenggara province, which
has a direct air link to Darwin in Northern Australia.
As a consequence, the provincial government and local
legislative assembly should demand that Kupang be made the
gateway in the southern part of eastern Indonesia, to Australia
and the Asia-Pacific region, he said.
"I think it (this status) is appropriate because only Kupang
has direct flights to northern Australia. Kupang's position is
quite strategic. It only needs a political decision to confirm
it," Ferdi said.
According to him, the departure tax exemption and the
conferring of gateway status on Kupang would help develop a new
economic growth center in the southern part of eastern Indonesia,
consisting primarily of East Nusa Tenggara, West Nusa Tenggara,
West Timor and northern Australia.