Indonesian Students Alliance Protests 12% Value-Added Tax Hike
JAKARTA, Dec 27, 2024 – The Indonesian Students Coalition (Protest at Presidential Palace Today”>BEM SI) is scheduled to hold a demonstration against the increase in Value-Added Tax (PPN) to 12% today, Friday, Dec 27, 2024, starting at 3:00 PM (WIB) at the Presidential Palace in Jakarta. The coalition, represented by @bem_si on Instagram, urges, "Reject PPN 12%, our voices are the voice of the people."
University students argue that raising the PPN to 12% isn’t a solution, but rather a threat to the common people, especially with the escalating cost of living. They believe this policy will disproportionately affect various layers of society.
Law enforcement has deployed 611 personnel, comprising entities from the Jakarta Metro Police, Jakarta Metro Police Center, TNI, and local government agencies to oversee the event. "We’ve deployed a total of 611 personnel," said the Head of Metro Jakarta Police, Kombes Pol स्पट Susatyo Purnomo Condro.
At present, authorities have not yet implemented traffic management around the protest area, which includes the surrounding area of the Arjuna Wijaya Statue on Jalan Medan Merdeka Barat to the Istana Merdeka area on Jalan Medan Merdeka Utara. However, traffic management will be executed based on the real-time situation of the rally.
Condro advises protestors to express their aspirations peacefully, avoiding any provocative actions. The government officially implemented the PPN rate increase to 12% starting Jan 1, 2025, according to Undang-Undang Nomor 7 Tahun 2024 regarding the Harmonization of Taxation Regulations (UU HPP). Minister of Economic Affairs Airlangga Hartarto announced this during a press conference on stimulus packages for prosperity held at the Economic Affairs Ministry office in Jakarta.
Finance Minister Sri Mulyani Indrawati clarifies that the 12% PPN will apply to luxury or premium goods and services. In addition, the government will provide a PPN 2025 incentive of Rp 265.5 trillion for food, automotive, and property groups.
