Tuesday, 24 December 2024 – 19:11 WIB
The Young People’s Conscience Movement (GEMURA) expressed its support for the policy of increasing the Value Added Tax (VAT) rate to 12 percent. Photo: supplied
jpnn.comJAKARTA – The Young People’s Conscience Movement (Gemura) expressed its support for the policy of increasing the Value Added Tax (VAT) rate to 12 percent, which is the object of the burden given to the majority of middle and upper income earners.
According to DPP Gemura, this policy is a strategic step needed to strengthen Indonesia’s tax system as a whole.
Even though the impact of the VAT increase is predicted to affect people’s purchasing power, especially for the lower middle class, GEMURA through Deputy General Chairperson M Ria Satria considers this policy to remain important for increasing state income.
However, Gemura also emphasized that in accordance with Gerindra’s view, the 12% VAT increase will only be imposed on luxury goods.
“This aims to ensure that lower levels of society are not burdened by this policy,” said Ria Satria.
“We believe that this more selective policy will reduce the potential negative impact on disadvantaged communities,” he said.
He said Gemura also saw this policy as part of the tax reform efforts needed to increase state revenues.
According to Ria, this income will be allocated for development programs aimed at improving the welfare of society as a whole.
In line with Gerindra, DPP Gemura supports a 12 percent VAT increase because this policy is important for the economy.
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