Tax Holiday

Tax Holiday May Enhance Domestic Investment

VIVAnews - Chairperson of the Investment Coordinating Board (BKPM) Muhammad Lutfi said that an incentive in a form of tax holiday is important to strengthen domestic investment. Tax holiday is a tax incentive for future investors.

At the present time, BKPM together with several related parties are calculating the value of the government tax holiday to attract foreign investment.

Lutfi said that Indonesia can enact a 15 percent tax holiday at the time being to create a better investment climate. The tax holiday is a part of the government intervention to the upstream industry development.

The government is giving a 50 percent tax holiday. Although Lutfi mentioned that 2009 is a difficult time since the money that went into the developing countries had reduced 40 percent from US$520 billion to US$480 billion.

Nevertheless, he is still optimistic despite the economic meltdown because Indonesia still owns its market and commodity.

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Translated: Ariyantri E. Tarman

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VIVA.co.id
29 Maret 2024