![After the Government Shakes Entrepreneurs, Luhut Postpones Entertainment Tax Increase by 40-75%.](https://cdns.klimg.com/mav-prod-resized/480x/ori/feedImage/2024/1/18/1705549701897-djkmi.jpeg)
![After the Government Shakes Entrepreneurs, Luhut Postpones Entertainment Tax Increase by 40-75%.](https://cdns.klimg.com/mav-prod-resized/480x/ori/feedImage/2024/1/18/1705549701897-djkmi.jpeg)
"Dream - Luhut has called several officials regarding the regulation of entertainment tax increase of 40 to 75 percent. He has ordered the decision to be postponed."
Through Instagram, Luhut uploaded a video of his statement. He admitted to receiving news that many entrepreneurs objected to the increase in Specific Goods and Services Tax (PBJT) regulated in Law Number 1 of 2022 concerning the Financial Relations between the Central Government and the Regions (HKPD).
"So we want to postpone the implementation for now, that's one. Because it's actually from the XI Commission of the Indonesian Parliament, so it's not suddenly from the government like that," in a video uploaded by the Instagram account @luhut.pandjaitan, Wednesday, January 17, 2024. According to the Coordinating Minister for Maritime Affairs and Investment, the increase in entertainment tax could have an impact on the lower class. In addition, the regulation is also being challenged in the Constitutional Court (MK)."
"I think that should be considered. Because we, our support for the common people is very high as it also greatly affects small traders," said the man named Luhut Binsar Pandjaitan.
The impact on small traders makes Luhut argue that there is no reason to impose entertainment tax increase in the near future. "So entertainment should not only be seen in nightclubs, it's not just that, once again, it has an impact on others, those who prepare it for sale and others. I think I am very pro with that, and I see no reason for us to raise taxes from there," he emphasized.
Luhut admitted that he had heard complaints about the entertainment tax increase regulation since some time ago. After hearing the complaints, he immediately gathered relevant agencies to discuss this issue. "I believe that this discourse needs to be postponed for implementation, for us to evaluate together what its impact on the people will be. Especially for small business owners," he wrote in the caption of the uploaded video.
According to him, the entertainment industry is not limited to large-scale businesses. But there are also small entrepreneurs in the entertainment industry ecosystem. "What the public needs to know is that the entertainment industry is not just about karaoke and nightclubs. There are many workers whose income depends on entertainment service providers, both small and medium scale. Based on that, I feel there is no urgency to increase this tax," added Luhut.
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