Minister: investors see luxurious goods sales tax as high cost

Jakarta (Antara News) - Industry Minister Fahmi Idris said that sales tax on luxury goods (PPnBM) was regarded as a high cost by investors in the automotive and electronic sectors.

"Sales tax on luxuries is still deemed as high cost for investment in the automative and electronic industries, and often caused problems," Fahmi Idris said after a meeting with a delegation of the US-ASEAN Business Council for Indonesia, here, on Friday.

He further said that actually the industry ministry already had discussed the sales tax on luxurious good with the Finance Ministry in the last year, and it was decided that the tax on electronic products like television sets, for instance, will depend on their size (inches), and the tax on cars will depend on their engine size, he said.

Fahmi said that the US business delegation came here to discus among other things the sales tax on luxuries.(*)
_________________________
Jawawa.net: Indonesian Business and Investment News Aggregator