Indonesia to extend VAT relief to leased aircraft
Indonesia is close to extending VAT relief to imported leased aircraft as a measure aimed at lowering airline's operating costs. Provision of the tax relief will likely be done through the revision of a 2015 govt order, and be made public sometime this week, Suahasil Nazara, head of the country's Fiscal Policy Agency, said Friday. He adds discussions to extend the relief have been going on "for a while," and coincided with the recent changes to the domestic airfare price floor and ceiling. He also stressed that the relief will help carriers to reduce their cost base. Since 2016 the govt has provided VAT relief to airlines importing owned aircraft and aircraft components. The plan came 1 day after the transport ministry indicated that a policy to further reduce domestic airfares is being worked on by Jakarta. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2019-06-25/general/indonesia-to-extend-vat-relief-to-leased-aircraft
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Indonesia to extend VAT relief to leased aircraft
Indonesia is close to extending VAT relief to imported leased aircraft as a measure aimed at lowering airline's operating costs. Provision of the tax relief will likely be done through the revision of a 2015 govt order, and be made public sometime this week, Suahasil Nazara, head of the country's Fiscal Policy Agency, said Friday. He adds discussions to extend the relief have been going on "for a while," and coincided with the recent changes to the domestic airfare price floor and ceiling. He also stressed that the relief will help carriers to reduce their cost base. Since 2016 the govt has provided VAT relief to airlines importing owned aircraft and aircraft components. The plan came 1 day after the transport ministry indicated that a policy to further reduce domestic airfares is being worked on by Jakarta. <br/>
