JAKARTA. Ministry of Finance is still assessing the impact of the new regulation on exports of crude mineral and coal to state revenues. However, the ministry confirmed that the revenues can boost the state revenues. The new regulation allows a mining company to export crude mineral products in one condition: the company has to hold special mining license (IUPK). Head of Center of State Revenues Center at Fiscal Policy Agency of Ministry of Finance Goro Ekanto estimates that the policy will boost state revenues from taxation and customs sectors, on the grounds that every IUPK holder has to comply with existing taxation rules, unlike the contract of work holder. To date, the contract of work holders only pay annual royalty.
New regulation on mineral can boost state revenues
JAKARTA. Ministry of Finance is still assessing the impact of the new regulation on exports of crude mineral and coal to state revenues. However, the ministry confirmed that the revenues can boost the state revenues. The new regulation allows a mining company to export crude mineral products in one condition: the company has to hold special mining license (IUPK). Head of Center of State Revenues Center at Fiscal Policy Agency of Ministry of Finance Goro Ekanto estimates that the policy will boost state revenues from taxation and customs sectors, on the grounds that every IUPK holder has to comply with existing taxation rules, unlike the contract of work holder. To date, the contract of work holders only pay annual royalty.