Income Tax Incentives Policy in Special Economic Zones

Rizka Fitria, Adang Hendrawan, Milla Sepliana Setyowati

2019

Abstract

Income tax incentive policy and the development of Special Economic Zones are two policies used to increase Indonesia's economy through investment. With the implementation of an income tax incentive policy in Special Economic Zones is the government's maximum effort to increase investment. Therefore, to implement a better tax incentive policy and a more effective implementation, a tax incentive policy assessment can be carried out through the 10 principles of Good Tax Policy to know and understand more deeply about the consideration of formulation and implementation of the policy and can provide solutions so that policies can work better at doing its purpose. Using post-positivist method, the results of the assessment using the ten principles are the income tax incentive policy fulfills several principles by fulfilling the main objective of increasing investment in special economic zones, but from several principles that are not fulfilled, the certainty principle is a principle that plays a major role in not fulfilling these principles because the certainty of the policy of providing incentives is considered unclear which affects the interest of taxpayers to use incentives. To assess the income tax incentive policy in the Special Economic Zones based on the related principles, it becomes difficult because of the lack of taxpayers who take advantage of these incentives. It means that the policy still needs improvement in implementing policies so that they can be implemented effectively and efficiently. The taxpayer informant obtained as resource persons is taxpayers from the food processing industry and chemical industry so that they are less able to represent the opinion of taxpayers in Special Economic Zones with a different industry thus this paper cannot represent the entire industries in Special Economic Zones.

Paper Citation

in Harvard Style

Fitria R., Hendrawan A. and Setyowati M. (2019). Income Tax Incentives Policy in Special Economic Zones.In Proceedings of the 1st International Conference on Anti-Corruption and Integrity - Volume 1: ICOACI, ISBN 978-989-758-461-9, pages 239-245. DOI: 10.5220/0009402502390245

in Bibtex Style

@conference{icoaci19,
author={Rizka Fitria and Adang Hendrawan and Milla Sepliana Setyowati},
title={Income Tax Incentives Policy in Special Economic Zones},
booktitle={Proceedings of the 1st International Conference on Anti-Corruption and Integrity - Volume 1: ICOACI,},
year={2019},
pages={239-245},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0009402502390245},
isbn={978-989-758-461-9},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 1st International Conference on Anti-Corruption and Integrity - Volume 1: ICOACI,
TI - Income Tax Incentives Policy in Special Economic Zones
SN - 978-989-758-461-9
AU - Fitria R.
AU - Hendrawan A.
AU - Setyowati M.
PY - 2019
SP - 239
EP - 245
DO - 10.5220/0009402502390245