JAKARTA. Bank of Indonesia (BI) intends to propose some tax incentives that can be enjoyed by the Islamic banking industry. It is intended for the development of Islamic banking industry could be more motivated.
BI deputy governor Halim Alam said, the laws that exist today actually is sufficient to provide clarity on the tax status of some Islamic products. However, the law provides equality of treatment is merely an alias tax neutrality. While the form of special tax incentives for Islamic banking products have so far not yet exist.
"Some incentives may be given or are we going to propose to certain products in Islamic banks which we will prove through research risk is low, so later than what we send down his RWA can also lowered taxes so that is really clear. Maybe that's what we will propose (in government), "Halim said in Jakarta on Wednesday (24/11).
Halim says, with the provision of tax incentives for the Islamic banking industry, he believes it could provide a huge boost for Islamic banking is growing. BI in essence, says Halim, wanted to attempt furtherance of Islamic banking and Islamic economics could become a national agenda. Thus, it requires cooperation with various parties. No exception of government as the authorities manage tax issues.
Source : Kontanonline.com, 24 November 2010
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