Zero duty for 'tsunami' goods

Zero duty for 'tsunami' goods

Minister of Finance Yusuf Anwar has issued a decree that
grants zero import duty for imported goods that are to be donated
to the victims of the tsunami catastrophe in Aceh and North
Sumatra, starting on Dec. 30.

However, the exemption is only valid for goods imported via
bonded zones in the country, and by exporters or businesspeople
who are already eligible for import duty cuts on materials that
are later processed into export commodities.

No more details have been made available, but a ministry
spokesman said the ministry would hold a media briefing on Monday
to provide more details on the issue.

The move was the second policy introduced by the government
within a week in an apparent move to encourage more donations to
the victims.

Earlier, the government provided tax breaks for companies
donating aid. To be eligible for the facility, firms must obtain
a receipt from the people or institution that receives the
donation and attach the receipt to their annual income tax bill.

Vice President Jusuf Kalla has said that the government will
need at least Rp 1.35 trillion in emergency funds to meet the
victims' basic needs.

Most survivors fled their homes with only the clothes on their
backs. The emergency funds will be used to provide food,
clothing, medical supplies and other basic necessities. -- JP