Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Fathan Qorib, Andin Aditya Rahman
The discussions between the Government and the Financial Services Authority (OJK) in regard to raising the income tax rate on mutual funds and bonds continues with both parties insisting on and pushing for their own positions. The Government wants to raise the tariff to 15 percent next year, while the OJK recommends that this plan be postponed and the rate left at 5 percent.
OJK has continued to try to persuade the Government to postpone its plan to raise the tax rate on mutual funds and bonds to 15 percent. Nurhaida, a member of the OJK Board of Commissioners said last June that 15 percent is too high. This will undermine the efforts being made to develop capital market products that aim to maintain the liquidity of the Indonesian capital markets.
“We are still trying to coordinate matters so that the tax remains at 5 percent,” said Robinson Simbolon, OJK Deputy I for Capital Markets at OJK in Jakarta on Thursday.
According to Robinson, discussions between OJK and the Directorate General of Tax are still continuing to try to find a win-win solution for both the OJK and the Government. However, Robinson asserted that it is up to the Directorate General of Tax as to whether or not to increase the rate.
“If they want to, or if they don’t want to, that is up to them. But let’s discuss it first,” Robinson said.
Despite the lack of results from these discussions, Muliaman D. Hadad, Chairman of OJK Board of Commissioners, affirmed that his institution and the Directorate General of Tax have executed an MoU as a way to improve communications between the two institutions.
“With a door that is open, we can identify other tax aspects that may later lead to a way out,” he asserted.
Muliaman also confirmed the previous statements by Robinson that the OJK and the Government have indeed not come to an agreement yet. The Chairman also asserted that the OJK want favorable tax policies to deepen our financial industry, so that there are products that can be purchased by the public. He also explained that the previous provisions will remain in effect if an agreement is not reached.
“For the time being, the rules have not changed. We will continue to discuss this later,” concluded Muliaman.
The Government’s plan to raise the tax rate on mutual funds and bonds to 15 percent by 2014 is set out in Article 3 (d) of Government Regulation No. 16 of 2009. This regulation sets the tax rate for t2009 and2010 at zero percent, and five percent for 2011 to2013. For 2014 and following years, the tax rate is set at 15 percent.
Unless the regulation is amended by the Government, this will be the last increase in tax on mutual funds and bonds.
(hot/kc)
Fathan Qorib, Andin Aditya Rahman
The discussions between the Government and the Financial Services Authority (OJK) in regard to raising the income tax rate on mutual funds and bonds continues with both parties insisting on and pushing for their own positions. The Government wants to raise the tariff to 15 percent next year, while the OJK recommends that this plan be postponed and the rate left at 5 percent.
OJK has continued to try to persuade the Government to postpone its plan to raise the tax rate on mutual funds and bonds to 15 percent. Nurhaida, a member of the OJK Board of Commissioners said last June that 15 percent is too high. This will undermine the efforts being made to develop capital market products that aim to maintain the liquidity of the Indonesian capital markets.
“We are still trying to coordinate matters so that the tax remains at 5 percent,” said Robinson Simbolon, OJK Deputy I for Capital Markets at OJK in Jakarta on Thursday.
According to Robinson, discussions between OJK and the Directorate General of Tax are still continuing to try to find a win-win solution for both the OJK and the Government. However, Robinson asserted that it is up to the Directorate General of Tax as to whether or not to increase the rate.
“If they want to, or if they don’t want to, that is up to them. But let’s discuss it first,” Robinson said.
Despite the lack of results from these discussions, Muliaman D. Hadad, Chairman of OJK Board of Commissioners, affirmed that his institution and the Directorate General of Tax have executed an MoU as a way to improve communications between the two institutions.
“With a door that is open, we can identify other tax aspects that may later lead to a way out,” he asserted.
Muliaman also confirmed the previous statements by Robinson that the OJK and the Government have indeed not come to an agreement yet. The Chairman also asserted that the OJK want favorable tax policies to deepen our financial industry, so that there are products that can be purchased by the public. He also explained that the previous provisions will remain in effect if an agreement is not reached.
“For the time being, the rules have not changed. We will continue to discuss this later,” concluded Muliaman.
The Government’s plan to raise the tax rate on mutual funds and bonds to 15 percent by 2014 is set out in Article 3 (d) of Government Regulation No. 16 of 2009. This regulation sets the tax rate for t2009 and2010 at zero percent, and five percent for 2011 to2013. For 2014 and following years, the tax rate is set at 15 percent.
Unless the regulation is amended by the Government, this will be the last increase in tax on mutual funds and bonds.
(hot/kc)