Tax Rate Increase affect Income Society

By administrator | September 7, 2018 | Tax.

Tax Rate Increase affect Income Society. The policy of the Ministry of Finance (Kemkeu) is just right, as raising the income tax (PPh) section 22 against 1,147 imported goods. the increase is not on food ingredients as a short-term policy quite well as it will not add to the burden of society down the middle. The Government is currently keeping the medium community down, rise in the rupiah as did not affected significantly the impact on food prices. In addition, the Government also did not raised income tax to goods production (food).

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On the other hand, this policy will lower the purchasing power of the public against consumption of imported goods, but the highest buying power lies in foodstuffs so that this policy is good for middle-class votes to the bottom.

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Meanwhile, in the short term we need a short term policy with the import restrictions. This would potentially decrease the consumption society. But this is not for the community as a whole, because the price of food already in control. From 1,147 post tariff is divided into three classes of PPh section 22 which is raised.

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First, there were 719 the previous rates post PPh his charged 2.5% to 7.5%. Second, there are 218 post rates that previously his PPh 2.5% to 10%. Third, there are 210 postal rates from 7.5% to 10% income tax. percentage usage of imported raw materials be very small and only middle-class and above that use it. Hence, the purchasing power of these imported goods have a tendency not to diminish.

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