Policy Implementation for Providing Income Tax Holiday

Abstract :

Tax Holiday is one of income tax incentives that is being intensified by the Government of Indonesia to be able to increase foreign investment in Indonesia, which is included in the policies listed in the Economic Policy Package XVI. This study will discuss regarding implementation of tax holiday policy in PMK Number 150 / PMK.010 / 2018. This research was a qualitative approach and descriptive research. The results showed that there were three factors that caused tax holiday policy in previous regulations to not run optimally, namely the uncertainty factor in granting tax holiday decisions, bureaucratic factors and difficult requirements, and other factors besides tax, in the form of legal certainty, economic stability, and availability of infrastructure. The rules set forth in PMK No. 150 of 2018 are better compared to previous regulations, which are indicated by tax holiday policy that prioritizes certainty, convenience, and trust in taxpayers.