GOVT TO RAISE DEPARTURE TAX TO RP2.5 MILLION

Denpasar, Dec 30 (ANTARA) - The government planned as of January 1, 2009, to raise the departure tax of people going abroad by Rp2.5 million to raise state revenue.

Head of the Bali tax and excise office Petrolius Saragih said here on Tuesday the departure tax will be raised by 150 percent from Rp 1 million to Rp 2.5 million.

The departure tax on people going abroad by sea, will also be raised to Rp1 million from Rp500,000. The new rates will come into force after the signing of a government regulation on departure tax by the president.

"We are still waiting for the president's signature," he said.

However increase in the departure tax will be followed by a decision to exempt Indonesians with taxpayer's code number (NPWP) from departure tax.

Indonesians who are in possession of an NPWP will be exempted from departure tax. This status will also be granted to wives of husbands in possession of an NPWP, youngsters less than 21 years old, artists, people having medical treatment abroad.

The government's departure tax exemption is aimed at increasing the goverment's revenue, and prompting people to secure an NPWP.