By: Edi Jatmiko ) *
R Law on Provisions and Tax Facilities for Strengthening the Economy has entered Prolegnas 2020. The draft regulation will not only be used as a tool to increase state revenue but also pay attention to the economic growth of taxpayers.
Since its formulation, Minister of Finance Sri Mulyani Indrawati has desired that the draft Bill on the Tax Provisions and Facilities for Strengthening the Economy be immediately entered into the DPR.
Because, one of the Omnibus Laws proposed by the government will facilitate investment and fiscal incentives provided in an effort to stimulate the Indonesian economy.
However, the government will also continue to intensively communicate with the legislators. Sri Mulyani also met with the Speaker of the DPR, Puan Maharani with the DPR leadership and Commission XI for consultations related to the submission of the tax bill to the DPR.
Sri Mulyani said that there were several members of Commission XI who had also expressed their opinions regarding the planned discussion of the Tax Omnibus Law. He hoped, this would be a good sign so that the discussion of the tax bill could run smoothly later.
On the same occasion, Puan Maharani as Speaker of the Indonesian Parliament said that there was no specific lobbying for the submission of the Tax Omnibus Law Bill. The submission will be transparent.
The DPR has previously determined that the Taxation Bill has become one of the 2020 national legislation programs (Prolegnas) along with the Employment Creation Bill. After this stipulation, the government will send a Presidential Letter (Surpres) for discussion of the Bill in the DPR.
The draft Tax Omnibus Law covers Investment Funding, Territorial Systems, Individual Tax Subjects, Taxpayer Compliance, Business Climate Conditions and Facilities.
In tax omnibus law, the government will later reduce corporate income tax. But so that there is no shock in the state budget, the reduction will be gradual.
If later on the Taxation Bill is passed by the House of Representatives in 2020, Sri Mulyani said that the decline in corporate income tax will begin in 2021 from the current 25 percent to 22 percent.
Previously, he also said that the Taxation Bill would potentially reduce tax revenues of around Rp 85 trillion to Rp 86 trillion. But the government has anticipated the potential for a reduction in revenue by increasing the tax collection by which the corporate income tax (PPh) will be reduced.
On a different occasion, the Chairperson of the DPR’s Budget Agency (Banggar) Said Abdullah hoped that this Tax Omnibus Law Bill could increase National tax revenue.
He said, the Tax Omnibus Law Bill was very strategic to be resolved immediately. This is important, remembering that national tax revenue in the 2019 APBN did not reach the target. In addition, he explained that this bill was also to improve the investment climate in Indonesia. During this time, investment has been hampered by various factors. Therefore, Said hopes the government will oversee starting from licensing, financial closing to running the business.
According to Said, the DPR RI is ready to discuss the Omnibus Law Taxation Bill with the government yet to send the draft Omnibus Law bill to the DPR RI.
Nevertheless, Said reminded that the discussion of the tax bill Omnibus Law must protect the domestic business world especially the MSME sector in the regions, to grow and develop.
For him, the tax does not only increase state revenue, but also how SMEs can also be a source of national economic growth.
On the occasion of the RDP, Deputy Chair of the Chamber of Commerce for Monetary, Fiscal and Public Policy Raden Pardede said the bill would be a lever for Indonesia to be able to compete in terms of taxation with other countries.
On the other hand, Kadin and Apindo support this bill and hope to reorganize the national taxation system. Moreover, there are many overlapping laws and regulations.
For the business world, this Tax Omnibus Law will provide certainty in doing business. So expect compliance in paying taxes will increase.
The substance of taxation and fiscal policy contained in the Omnibus Law Employment Copyright will be included in the Tax Omnibus Law.
Of course, with the Tax Bill currently being pursued by the government, it should be supported by all parties, so that the growth of the community will necessarily have an impact on economic growth.
) * The author is a social political observer
