Incentive Plan 2019

The government plans to launch some policies related to tax in 2019. Some of the policies are among others abolition of luxury goods sales tax (LGST) for yachts, increase in the threshold of LGST imposition, and decrease in the rate of article 22 income tax for properties.

Based on Regulation of the Minister of Finance Number 35/PMK.010/2017 regarding Types of Taxable Goods Classified as Luxurious Other than Motor Vehicles Subject to Luxurious Goods Sales Tax, yachts are included in goods subject to tax of 75%. According to plan, the abolition of LGST for yachts will be conducted by amending Government Regulation Number 145 Year 2000 regarding Groups of Taxable Goods Categorized as Luxury Goods Subject to Luxury Goods Sales Tax.

Meanwhile, the threshold of imposition of LGST and rates of article 22 income tax for properties respectively provided for in Regulation of the Minister of Finance Number 90/PMK.03/2015 regarding the Amendment to Regulation of the Minister of Finance Number 253/PMK.03/2008 regarding Certain Corporate Taxpayers as Income Tax Collectors from Purchasers on the Sales of Goods Categorized as Very Luxury and Regulation of the Minister of Finance Number 35/PMK.010/2017 regarding Types of Taxable Goods Classified as Luxurious Other than Motor Vehicles Subject to Luxurious Goods Sales Tax. Therefore, the two regulations will also be amended in order to realize the government’s plan.

 

 

 

 

 

 

Source https://legalcentric.com/content/view/137420

Rencana Insentif Pajak 2019
Rencana Insentif Pajak 2019

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