Post Tax Incentives, Licensing Also Must Be Fixed

INDUSTRY.co.id - Jakarta, Vice Chairman of Indonesian Chamber of Commerce and Industry (Kadin) of Industry Johnny Darmawan assessed that tax incentives given by the government to a number of industrial sectors should be very attractive to investors.

However, these incentives have not been able to produce maximum results if investors still have constraints in the form of licensing convoluted.

"If the current government can guarantee easier bureaucracy, this policy must be very tempting for investors," said Johnny Darmawan in Jakarta (1/5/2018).

Johnny praised the current government's move that continues to streamline bureaucratic services. Consistency in improving licensing is seen in the effort to build a one-stop service system.

"The entrepreneurs are now helped by One Stop Integrated Service (PTSP) .It used to take months if we want an investment license, now a few days are finished," said Johnny.

Johnny reminded the government that although the offer from the government is very attractive but economic conditions, both national and global, make entrepreneurs generally still withhold investment.

Therefore, he considered it reasonable that investment in Indonesia to date is still small. To that end, he advised the government to combine tax incentives in the form of tax holiday with other investment ease policy as more value.

"Perhaps more should be encouraged to improve its licensing because this is the most important, tax relief will not be glimpsed as long as licensing is still complicated," said Johnny Darmawan.

Another factor that supports investment, according to Johnny, is the legal certainty in investing. Supported by the continued development of infrastructure, he believes that in the near future Indonesia has become one of the most attractive countries for investors.