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Journal : Policy

Tax Facilities through Omnibus Law Taxation: A Canon Taxation Review Fidiana Fidiana
Policy & Governance Review Vol 5 No 3 (2021): September
Publisher : Indonesian Association for Public Administration

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.30589/pgr.v5i3.373

Abstract

This research is a conceptual study to examine tax policy in the pandemic situation with a canon taxation perspective, namely equity, certainty, convenience, and efficiency. The study conducted by using a literature review concerning the role of Omnibus Law includes tax facilities to attract foreign investment underlining strengths and weaknesses. Data is obtained through secondary sources in the form of archival reports and previous research relevant to the research. Based on the analysis of literature studies, this research produces several things. First, the principle of equity is found in adjusting corporate tax rates. Associated with the aim of attracting foreign investment, the tariff adjustment policy naturally will not be realized in 2020, where traffic between countries is restricted to prevent the spread of Covid-19. Second, in the tax policy scheme of domestic tax subject reclassification, which includes more than 183 foreigners working in Indonesia, and Indonesian citizens living abroad over 183 days are classified as subject to foreign tax. Tax is imposed on foreigners only on income earned in Indonesia. This pattern fulfills certainty principles. Third, the regional tax incentive scheme is an instrument that ensures the certainty of regional investment in line with the principles of equity and convenience. Furthermore, local tax exemptions can lower the price of consumer goods in the regions, thereby increasing the purchasing power of the wider community, which was hampered by the pandemic. In this way, local taxes play a role in increasing regional competitiveness through public policies (tax incentives), to improve the welfare of people, especially those affected by the epidemic. Fourth, the tax holiday scheme encourages industrial growth in accordance with the principle of efficiency.
Co-Authors - Lussiana Abdan Syakura Achmad Firdaus Sani, Achmad Firdaus Adawiyah, Lailatul Adrianto, Yudhi Aji Rifqi Rawadani Akbar, Arista Widya Andhika Akhmad Riduwan Alifah Shabrina, Alifah Ariestianti, Widhi Azizah, Mellina Nur Bambang Suryono Basuki, Mudjiani Budi Riharjo, Ikhsan Budiyanto Budiyanto Cindy Calista Gunawan Cindy Fitria Sumuan DEWI SARTIKA Dian Anggraeni Safitri, Dian Anggraeni Dien Gusti Mayogi, Dien Gusti Dini Widyawati Dwi R, Endang Fadil Fadjrih Asyik, Nur Felani, Maulana Robbi Fitria Ika Siwi Rahayu Fitriana Warap Sari, Fitriana Warap Gelia Ayu Pramaiswari HERAWATI, LILIK Heriska Sri Kresna Hermanto, Suwardi Bambang Heru Pribowo Hesty Mey Lestari, Hesty Mey Istighfarin, Nabila Istighfarin, Nabila J Jamaluddin Kiki Eka Selfiana, Kiki Eka Kurnia Kurnia L Lussiana Lazuardy, Alvin Lilis Ardini Luluk Musyarrofah, Luluk Lydia Setyawardani Madinatul Umro, Madinatul Mahwiyah, Mahwiyah Maulana Robbi Felani Maya Sari Mildawati, Titik Mustika, Hindah Nabila Istighfarin Nasution, Annio Indah Lestari Ningdiyah, Endra Wahyu Nur Amalia Nur Fadjrih Asyik Nur Handayani Nurul Hidayati Paradhita Octivia Anggun Permana, Paradhita Octivia Anggun Paulus Sugianto, Paulus Primasari, Ratna Arizka Putra, Zaka Yahya Rahayu, Ernia Christy Ratna Arizka Primasari Ratna Wati Retnani, Endang Dwi Retnowati, Candra Robby Hartono Putra, Robby Hartono Rochdianingrum, Widhi Rochdianingrum, Widhi Ariestianti Rozi, Danu Sakina Sakina, Sakina Sudarmo Sudarmo Sugeng Riyadi Asmoro, Sugeng Riyadi Suhfriahtiningsih, Endah Sulistyowati Sulistyowati Sutjipto Ngumar Sutjipto Ngumar, Sutjipto Tiara, Tiara Tri Wulandari Triyonowati, Triyonowati Ulya Anisa’ul Maghfiroh Utama, Yayak Ardy Pranata Viega Ayu Permata Sari, Viega Ayu Permata Wahidahwati Wahidahwati, Wahidahwati Wardani, Indry Maura Kusuma Widhi Ariestianti Widyawati, Dini