This Academic From Malang Agrees With The Government To Collect Excise On Soda And Plastics, What's The Reason?

Illustration (Photo: Doc. Antara)

JAKARTA - Researcher from the Center for the Study of Economic Policy, Universitas Brawijaya Malang, Imanina supports the government's intention to impose excise levies on soda and plastic products.

According to him, the pattern of consumption of soda in the long term also endangers health. Meanwhile, the short-term and long-term use of plastic also harms the environment.

“Excisable goods (BKC) are goods that are restricted in circulation or consumption (use). This is because it interferes with health as well as the impact of negative externalities such as environmental damage," he said in an official statement as quoted on Tuesday, August 10.

Imanina added that plastic, soda, and sweetened foods are some items that can be subject to taxation as an alternative to excisable goods.

"The extensification of excisable goods (BKC) is expected to be able to support excise revenues, as well as state revenues," he said.

In his explanation, the academic also revealed that the government needs to expand tax bases in order to increase revenue or achieve tax targets. Another example that he put forward is the carbon tax for companies and individuals whose business activities can pollute the environment.

“The carbon tax itself has actually been applied for a long time in several countries, even the explanation is in taxation theory. Basically the purpose of the carbon tax is good, because the goal is for the good of the environment, namely encouraging the reduction of carbon emissions. On the other hand, the carbon tax can boost state revenue,” he said.

For information, in the 2021 State Budget, the government targets state revenues of Rp. 1,743.6 trillion. This amount consists of tax revenues of Rp1,229.6 trillion, customs and excise of Rp215.0 trillion, and Non-Tax State Revenues (PNBP) of Rp298.2 trillion.

Until the first semester of 2021, the realization of state revenue is known to be Rp.886.9 trillion, equivalent to 50.9 percent of the budget ceiling.

Meanwhile, state spending this year is believed to reach a value of IDR 2,750 trillion. That means that there will be a state budget deficit of IDR 1,006,4 trillion or 5.7 percent of gross domestic product (GDP).