Suara.com – The government provides special incentives in the form of exemption from luxury sales tax (PPnBM) for certain cars. This policy will take effect next month.
Even so, economic observer from Core Indonesia Piter Abdullah criticized the policy, according to him this policy would not be able to increase the purchasing power of the lower middle class.
“But this tax reduction does not make them regain their purchasing power. Those who lose their jobs, lose income, do not then get purchasing power again when their PPnBM is removed,” said Piter in a discussion entitled ‘Leverage for an Awakened Economy, virtually Tuesday. (16/2/2021).
Piter argued that the policy was not effective because the incentives were more targeted at the lower middle class, because this tax discount was only given to the category of sedan vehicles with a maximum segment of 1,500cc and 4×2 type of vehicles with a maximum segment of 1,500cc.
Also Read: Rows of cars 1,500 cc and below that do not get PPnBM incentives, anything?
For this reason, he advised the government to provide this tax discount incentive for other types of vehicles over 1,500cc.
“It doesn’t have to be the same as 1,500cc, which is currently 100 percent freed. Maybe those in the upper middle class or luxury vehicles are given a discount of 50 percent. So that the two middle and lower middle groups or both get incentives to then trigger accelerated growth again. consumption, especially in the automotive sector, “said Piter.
The government is preparing an incentive policy to reduce the sales tax rate on luxury goods (PPnBM) or a tax discount for motorized vehicles of the ≤ 1,500 cc segment for the sedan and 4×2 category.
This decision was taken after coordination between ministries and decided in a limited cabinet meeting.
This motor vehicle tax discount is an integral part of the Covid-19 Handling Program and the National Economic Recovery.
This segment was chosen because it is a segment that is of interest to the middle class and has local purchases of more than 70 percent. The tax discount is carried out in stages until December 2021 in order to have an optimal impact.
Source: Suara.com – Kumpulan Berita Bisnis Hari Ini Yang Terbaru by www.suara.com.
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