Increase in Import PPH Does Not Violate WTO Rules

By : Herry Barus And Aldo Bella Putra | Thursday, September 06 2018 - 13:30 IWST

Menteri Perdagangan Enggartiasto Lukita
Menteri Perdagangan Enggartiasto Lukita

INDUSTRY.co.id - Jakarta - The Minister of Trade Enggartiasto Lukita stressed that the policy of raising import tax rates (PPh) on 1,147 tariff posts would not violate the rules of the world trade organization or the World Trade Organization (WTO).

"There is no need to worry, this Article 22 Income Tax does not violate the WTO and can be credited. The type we question and there will be no shortage," Minister Enggar said at a press conference at the Ministry of Finance in Jakarta on Wednesday (05/09/2018)

Enggar said that domestically produced consumer goods will not suffer from a shortage of stocks with the enactment of the import PPh tariff adjustment to 1,147 commodities as a policy to control the import of consumer goods.

Likewise, the Director General of Foreign Trade of the Ministry of Trade, Okay Nurwan, said that the policy to increase Article 22 PPh rates were indeed applied to imported goods and goods produced domestically.

However, for imported goods the tax payment can be credited as part of the payable PPh payment at the end of the tax year.

Increase in tariffs on Article 22 Income Tax, which is imposed on certain business entities, both government and private, which conduct trade activities in export, import and re-import.

According to Okay, policies that can violate the rules even cause sanctions from the WTO are discriminatory treatment of imported goods. Therefore, this PPh 22 tariff adjustment is not to worry because there are no WTO rules violated by the government.

"If we apply imported products or domestic products are differentiated, then it is discriminatory," said Oke.

As is well known, the Government officially implemented a policy to control the import of consumer goods through raising the import tax rate (PPh) on 1,147 tariff posts as a strategy to overcome the current account deficit.

News Comment

Today's Industry

Images By : Freepik

Sabtu, 14 September 2024 - 16:56 WIB

Essential Tips for Choosing Personal Health Insurance in the US

Choosing the right health insurance plan in the United States can be a complex task, especially with the variety of options available and the ever-changing landscape of healthcare policy. Here…

Images By : Freepik

Sabtu, 14 September 2024 - 16:53 WIB

The Top 10 Insurance Companies in the US for 2024

In the ever-evolving landscape of insurance, selecting the right company can significantly impact your financial security and peace of mind.

Images By : Freepik

Jumat, 13 September 2024 - 15:37 WIB

Why Airbnb Become Popular in 2024?

Airbnb fosters a more interactive experience between hosts and guests. Through direct messaging, guests can inquire about specific details, negotiate pricing, or clarify expectations, which…

Flag of the United Nations Organization.

Kamis, 15 Agustus 2024 - 14:26 WIB

Modena Officially Becomes a Member of the UN Global Compact

Commited to transforming towards sustainable business practices, Modena the global home appliance established over 60 years ago in Italy, officially became a member of the UN Globe Compact (UNGC)…

Totolink outlet. (Photo: Public Relation of Totolink)

Kamis, 11 Juli 2024 - 22:08 WIB

Totolink Strengthens Commitment to Innovative and Reliable Network Solutions for Indonesia

Marking a strategic step, Totolink Indonesia proudly announces the enhancement of its head office in Jakarta, located at Harco Mangga Dua Blok E No.28, Sawah Besar, Central Jakarta.