Jakarta: The Coordinating Ministry for Economic affairs has confirmed that the tax holiday program will be expanded to cover a total 18 sectors.
The ministry announced the sixteenth economic policy package this morning. The policy package comprises three main policies namely expansion of the tax holiday program, adjustment of the negative investment list (DNI) and strengtheninng of rules on repatriating revenue from resource exports.
"The scope of the expansion is quite signifant," the ministry's deputy for macroeconomics and financial affairs Iskandar Simorangkir told reporters on Friday.
"Authorities could grant 100 percent income tax reduction for creative economy and agriculture-based processing industries," he added.
Here are the full list of the 18 sectors:
1. Upstream basic metal industry
2. Oil and gas purification and refining industry
3. Petroleum, natural gas and coal-based petrochemical industry
4. Basic inorganic chemical industry
5. Basic organic chemical industry
6. Pharmaceutical raw materials industry
7. manufacturing of semi-conductors and other computer components
8. Manufacturing of communication equipment
9. Manufacturing of medical device main components
10. Manufacturing of major industrial machinery components
11. Manufacturing of major engine components
12. Manufacturing of robotic components
13. Manufacturing of main components of ships
14. Manufacturing main components of aircraft
15. Manufacturing of major train components
16. Manufacturing of electric power generation machines.
17. Economic infrastructure
18. Agriculture industry