Omnibus Law to Allow Govt to Set Excise Goods without DPR Permit

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Laila Afifa

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  • TEMPO.CO, JakartaThe Finance Ministry's customs and excise director-general, Heru Pambudi, said that the omnibus law on taxation will allow the government to decide new excise goods without the House of Representatives’ (DPR) permit.

    According to Heru, this is aimed at creating dynamic and flexible control.

    “We hope the permit is granted in principle through omnibus law, that is by the DPR upon the government's input, so that the control and the restriction of new excise products can be implemented instantly under the Government Decree,” said Heru at the Tax Directorate General office, Jakarta, Tuesday, February 11.

    However, Heru explained that the calculation of the revenue target would be discussed with the parliament, yet it would be held only during the meeting on the state budget or APBN.

    On January 31, 2020, the government had submitted the drafts of the omnibus law on taxation to the DPR. The Tax Director-General Suryo Utomo expected the policy, which was still under discussion in the DPR, could take effect in 2021.

    “Hopefully [it will be valid] in 2021. We prepare the infrastructure too,” said Suryo in Jakarta Kempinski Hotel on Friday, February 7, adding that the omnibus law would strengthen the tax base and boost the country’s economy.

    MUHAMMAD HENDARTYO