Government Emphasizes that Disaster Aid from Abroad is Tax-Free

Minister of Finance Purbaya Yudhi Sadewa. (Photo: ANTARA)

JAKARTA - Minister of Finance Purbaya Yudhi Sadewa responded to the issue circulating regarding the imposition of taxes on foreign aid for disaster victims in Sumatra.

The information was widely discussed on social media after being shared by an Indonesian diaspora.

Purbaya emphasized that the news was not based on facts and that humanitarian assistance from abroad for disaster management was not taxed, as long as it followed the established mechanisms and procedures.

"On TikTok, it is said that people in finance, taxes, customs, and all sorts of things have no heart, the goods for disaster assistance are also sold. There is no such thing, as long as it goes through certain procedures," said Purbaya in the APBN KiTA press conference, quoted Friday, December 19.

Furthermore, Purbaya explained that the government provides import duty exemption facilities for disaster relief goods.

He added that the submission must be made through the Directorate General of Customs and Excise (DJBC) by attaching a letter of recommendation from the National Disaster Management Agency (BNPB) and the Regional Disaster Management Agency (BPBD).

"Just report to BNPB, we will immediately leave, that's about it. Later if there is no (recommendation letter), there are also those who are sneaky that they enter," he explained.

On the same occasion, Director General of Customs and Excise Djaka Budhi Utama said that imported goods for disaster management purposes could obtain import duty exemption facilities in accordance with the provisions of laws and regulations.

"To be sure, the government is preparing customs facilities to support disaster management as regulated in PMK Number 69, PMK 04 2012 on the basis of imported goods in the form of gifts or grants for the purpose of disaster management," he said.

However, he emphasized that the facility was not given automatically and the application must still be submitted to the DJBC and accompanied by a letter of recommendation from BNPB and BPBD, as well as other administrative requirements.

"Of course there are things that need to be completed administratively," he explained.