BKPM Takes Control of All Business Licensing and Fiscal Incentives
Thursday, February 20 2020 | TAXATION
In a bid to accelerate investment flows and offer more efficient, simplified procedures to investors, the Indonesia Investment Coordinating Board (“BKPM”) has now taken control of business licensing across 22 ministries and institutions.
As of 3 February 2020, any businesses or taxpayer entities that are looking to enjoy fiscal incentives may process their applications in their entirety via the BKPM. Said tax incentives encompass: 1) Tax holidays; 2) Tax allowances; 3) Import taxes for capital goods and so forth.
In order to facilitate the smooth processing of the abovementioned incentives and business licenses, staff from the relevant ministries and institutions have been placed at the BKPM. This regulation helps Government to aim higher ranking of Ease of Doing Business ("EODB") from World Bank, in which our firm is one of its contributors.