Rejecting The Increase In Entertainment Taxes, Tom Lembong: Hits Sectors That Provide A Lot Of Jobs

Co-captain of the National Team for Winning Anies-Muhaimin who is also the former Head of the Investment Coordinating Board (BKPM), Thomas Lembong (Diah Ayu/VOI)

JAKARTA - The National Team for Winning Anies-Muhaimin who is also the former Head of the Investment Coordinating Board (BKPM), Thomas Lembong, assessed that the government's plan to increase the entertainment tax was at least 40 percent to 75 percent.

The man who is familiarly called Tom Lembong assessed that entertainment businesses should be a sector that needs to be turned on. This is because this business sector creates a lot of jobs.

"In my opinion, the entertainment sector is part of the creative economy where there are millions of actors and that is precisely one of the developing sectors," said Tom Lembong at the AMIN Winning Headquarters, Central Jakarta, Friday, January 19.

"For me, how come it's not rational enough, we hit sectors that actually provide a lot of jobs," he continued.

The former Minister of Trade views that the business activities that need to be taxed should be in a sector that has a negative impact on the community.

One example is the food and beverage tax with high sugar levels. The tax must be increased because its products have the potential to trigger diabetes.

"Food and sweet drinks that trigger diabetes and obesity are what we have to tax. While the things we want to grow, don't be taxed because it's disincentive," explained Tom.

It is known, the latest increase in entertainment tax rates has made entrepreneurs scream. A number of experts say this policy can have a negative impact on the tourism sector and have the potential to increase the unemployment rate.

Misuh-minuh terkait pajak hiburan yang naik menjadi minimal 40 persen hingga 75 persen diperbincangkan publik belakang ini. Regulasi tersebut tertuang dalam Undang-Undang Nomor 1 Tahun 2022 tentang Hubungan Keuangan Antara Pemerintah Pusat dan Pemerintah Daerah, yang mengatur ketentuan tariff pajak untuk jasa art dan hiburan. Ada 12 kategori jasa art dan hiburan.

In Article 55 paragraph (1) letter (I), the government grouped the discotheque, karaoke, night karaoke, bar, steam bath/spa included in it.

For its implementation, the central government has submitted a decision on the amount of tax rates in each region to the regional governments and DPRD.