JAKARTA. The government recently passed Law (UU) Number 7 of 2021 concerning Harmonization of Tax Regulations (HPP). The HPP Law was officially promulgated on 29 October 2021.
In the latest law, a number of regulations in the field of taxation have undergone many changes. The HPP Law changes a series of rules in the Income Tax Law, the VAT Law, and the KUP Law. Through the HPP Law, it is expected to encourage economic growth through a fiscal strategy focused on improving the budget deficit on the one hand and increasing the tax ratio on the other.
In order not to be misdirected, a number of changes to these regulations need to be disseminated to the public, including business actors. To that end, MUC Consulting in collaboration with PT Suryacipta held a webinar related to the HPP Law on Wednesday (17/11).
The webinar, which was held offline and online, presented three speakers, namely Managing Partner of MUC Consulting Sugianto, Tax Compliance Manager of MUC Consulting Lucky Hernandito and Tax Compliance Supervisor of MUC Consulting Rischo Genio Septianto.
Opening the webinar, MUC Managing Partner of MUC Consulting Sugianto explained that in the past two years, especially since the pandemic hit, the government has issued regulations related to taxation three times. And the latest is the HPP Law. He said, there are a number of changes in the HPP Law from the previous rules, which taxpayers have to monitor closely.
"In this HPP Law, the government has made many changes related to taxation. The point is that this is an effort to expand the tax base for both subjects and objects.
Because the state needs to secure revenues through the state budget," he explained.
Sugianto outlined several changes to the tax rules in the HPP Law. Among them, from the Income Tax Law cluster, there are changes related to Benefit in Kind (BIK) which is the object of employee income tax. Then from the VAT Law cluster, there are changes such as changing the VAT rate to 11% starting 1 April 2022 and 12% (maximum 2025). Meanwhile, from the KUP Law cluster, several changes were made, among others, in the form of a policy where a Single Identity Number (NIK) becomes an individual Tax ID Number ( NPWP). Then, there are also regulations related to voluntary disclosure or what was previously called Tax Amnesty.
Sugianto stressed that the various changes to the tax rules will lead to many implementing regulations under them. For this reason, he urged taxpayers, especially business actors, to start learning more about the HPP Law.
"There will be a lot of implementing regulations. Therefore, ladies and gentlemen, you must start making good preparations for these new regulations," he added.
Senior Marketing Manager of PT Suryacipta Swadaya Indra Wicaksana added that his party hopes this webinar can provide concrete information and understanding regarding the implementation of the HPP Law.
"So hopefully, this will support the business activities of webinar participants in the present and in the future," he added. (KEN)