In May, the Industry Involved Vocational Education Can Reduce 200 Percent Taxes

INDUSTRY.co.id - Jakarta, the Government is finalizing the rules on super deductible taxes or tax deductions above 100 percent.

These fiscal incentives will be provided to industries involved in vocational education programs and conduct research and development (R & D) activities to generate innovation.

"If the definition is finished all, of course, this can be launched soon, along with single submission," said Minister of Industry of Airlangga Hartarto in Jakarta, Friday (27/4/2018).

He added that the Ministry of Industry has proposed a tax reduction scheme for industries that conduct vocational training and education by 200 percent. Meanwhile, for industries that perform R & D activities or innovation of 300 percent.

According to Menperin, currently still discussed the definition of research and development (R & D) or R & D. As for the rules related to the vocation is complete.

"The rules that have been discussed with the Coordinating Minister for Economic Affairs and Finance Minister have been approved," he said.

Airlangga said that the implementation of super deductible tax is in line with the initiative in Making Indonesia 4.0 roadmap. That is, the provision of this facility in addition to complement tax incentives tax allowance and tax holiday, will accelerate the national manufacturing industry to be ready to the industrial revolution 4.0.

These tax incentives are also provided to accelerate the upgrading of Indonesia's human resources competency in facing the fourth industrial revolution.

"To transform into the era of digital industry, it needs reskilling so that they can compete," he explained.

Menperin explained, the development of skilled human resources is one strategy to capture the demographic bonus opportunities that will be experienced by Indonesia in 2020-2030. This growing number of productive workforces can boost national economic performance.

Ministry of Industry has rolled out various vocational education and training programs into the industry era 4.0. For example, vocational education that links and matches between industry and Vocational High School (SMK).

"We appreciate because many industries are involved, until now reached 558 companies by holding as many as 1,537 SMK," he said.

For the development of human resources in polytechnics, the Ministry of Industry has a skill for competitiveness (S4C) program in collaboration with Switzerland in applying dual system education (theory and practice).

There are four Polytechnics belonging to Ministry of Industry that will be developed, namely Polytechnic of Morowali Metals, Central Sulawesi, Wood Polytechnic and Wood Processing of Kendal, Central Java, Polytechnic of Cilegon Petrochemical Industry, Banten, and Academy of Metal Industry Community of Bantaeng, South Sulawesi.

"Meanwhile, in an effort to spur R & D activities, we encourage the private sector to build a center or ecosystem of innovation such as the development of Nongsa Digital Park in Batam and Apple's iOS Development Center in BSD, Serpong," said Airlangga.