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Thursday, December 12, 2013

The government set up incentives for company research


The government set up incentives for company research
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Finance Minister Chatib Basri said the government is ready to provide incentives or income tax relief for companies that conduct research and development to improve the quality of human resources .

" Regarding tax allowance , we're talking about this , including the research and development or R & D. It is in the discussion as to what legal products , " said Chatib after opening the International Seminar on " Avoiding the Middle Income Trap " in Nusa Dua , Bali , on Thursday .

Chatib explained , strengthening human resource -based technology innovation needed to increase productivity so that Indonesia can escape the " middle income trap " , the condition of the middle- income countries stagnating and not managed to climb into a high-income countries .

According to him , the government provides incentives to companies seeking to improve their understanding of technology in order to produce value-added products and then Indonesia is not only dependent on natural resources .

"Indonesia is not the only country to implement R & D incentives , the idea is already there . We must prepare , in order to provide a foundation for the next administration so that they have a relevant paradigm of supply and demand , " said Chatib .

However , he admitted , the government still faces obstacles in formulating laws tax reduction incentive is double because Law General Tax Provisions do not specify the type of income tax relief for activities such as R & D.

" The name is a double tax deduction is not recognized in our tax laws , if the solution is its law should be revised , it could be a long time , it'll actually not be able to walk . Now we 're looking for what kind of format , that does not seem forced ,

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