Indonesia sets tax holidays and super deductive tax for electric vehicles

Tinuku - Indonesian President Joko Widodo on Thursday said the regulation of electric vehicles under the official low carbon emission vehicle (LCEV) name would be issued by the end of September 2018 where the government is still calculating licensing and incentives.

"It will be awaited September will be seen later .. Calculations are done The calculation will come out September. The government will continue all out to help and support the automotive industry," Widodo said.

Tinuku Indonesia sets tax holidays and super deductive tax for electric vehicles

"I have told the Minister of Finance, there will be incentives, including a much more aggressive tax holiday, tax allowance and the study is super deduction tax," said Jokowi.

Super deduction tax is a government policy giving authority to a company in determining an activity higher than it should be so that the company can enjoy a lower tax than it should. Calculations made for all matters concerning taxation regulate what types of cars will be given incentives and are expected to encourage increased production of electric vehicles.

The LCEV program initiated by the government is not only for electric cars, but also other low emission cars including hybrid and plug-in hybrids. Each vehicle mentioned utilizes electrical energy, but using a variety of sources ranging from conventional machines that act as generators, utilizing regenerative power from braking to pure only suck energy from the battery.