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Sri Mulyani Pushes For Greater Income in the Freeport Negotiation

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5 October 2017 08:06 WIB

Finance Minister Sri Mulyani. ANTARA PHOTO

TEMPO.CO, Jakarta - In regards to the Freeport Indonesia deal, Finance Minister Sri Mulyani Indrawati recently said that Indonesia’s potential income from the coal and minerals (Minerba) sector must be greater than the previous period.

Sri Mulyani said that the Finance Ministry is the leader in this particular problem, which is why the ministry is formulating the regulation based on the Coal and Minerals Law No 4/2009. It involves details such as income tax, Value-added tax, property tax, royalty and regional taxes.

Read: Indonesian Government, Freeport Continue Divestment Negotiation

“Nothing is secret and no concession is given to any particular company. This applies to every company in the field of mineral and coal, which is being regulated under many forms of regulations such as contract of work, Working Agreement on Coal Mining Concession (PKPK2B), and there is also a special mining permit (IUPK),” the Minister explained.

The Indonesian government will refer to Article 128 of the Minerba Law for the fiscal treatment in the mining permit and special mining permit. Meanwhile, the government will hold on to Article 169 in formulating matters related to customs, non-tax state income and regional income that are explicitly explained by the Law.

ANTARA



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