The tax incentives are expected to support certain sectors that need them, so that they will be able to expedite the national economic recovery.
Jakarta (ANTARA) - The Indonesian government has decided to extend tax incentives for COVID-19 pandemic-impacted taxpayers until the end of the first semester of 2022.

"The tax incentives are expected to support certain sectors that need them, so that they will be able to expedite the national economic recovery," Director of Counseling, Services and Public Relations of the Taxation Directorate General at the Finance Ministry Neilmaldrin Noor noted in a written statement released on Thursday.

The decision is stipulated in the Finance Minister's Regulation No. 3/PMK.03/2022 concerning Tax Incentives for COVID-19-Affected Taxpayers.

The extended tax incentives include income tax article 22-free facility for import of goods by 72 types of business undertakings (KLU), reduced installments in income tax article 25 for 156 types of business undertakings and government-borne final income tax on construction services for taxpayers receiving an accelerated irrigation water improvement program (P3-TIGAI).

Under the Finance Minister's Regulation, taxpayers that have applied for income tax article 22-free facility and/or filed a notification on the use of income tax article 25 incentives based on the Finance Minister's Regulation No. 9/PMK.03/2021 must file other application or notification based on the new regulation in order to benefit from the income tax article 22-free facility.

In addition, the government offers an opportunity to job providers, taxpayers or tax withholders that have filed and will file a realization report for the January-December 2021 period to revise the report until March 31, 2022, at the latest.

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Translator: Kuntum Khaira Ri, Suharto
Editor: Sri Haryati
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