President Jokowi: the Issuance of Perppu No. 1/2017 is a Global Commitment

President Jokowi answers the reporters’ questions after attending the National Book Day, in the central courtyard of the Presidential Palace, Jakarta, Wednesday (17/5). (Photo: PR/Jay)

President Joko ‘Jokowi’ Widodo asserted that the issuance of Government Regulation in Lieu of Law (Perppu) Number 1 of 2017 on Access to Financial Information for Tax Purposes is consistent with the implementation of the Automatic Exchange of Information (AEoI) that will take into effect from 2018. “I have delivered it on many occasions. This Perppu is a follow-up, regarding our commitment on our participation in the AEoI,” President Jokowi told reporters after attending the National Book Day, in the central courtyard of the Presidential Palace, Jakarta, Wednesday (17/5) afternoon.

The President emphasized that the Government has raised the issues many times during the dissemination of tax amnesty program, that in 2018, all countries will open themselves to banking information.

So, the President further explained, the Perppu is in the frameworks of the domestic and global interests. “So I do not think we should get surprised. Indeed the whole world will open up to it. And that I have to say many times, be careful that in 2018 everything will be open,” President said.

However, President Jokowi pointed out that the information was only used for the interests that are deemed necessary. “There are indeed the limitations, there are rules to be followed,” he said.

When asked by reporters whether the material of the Perppu has been delivered to the House of Representatives (DPR)? The President answered, of course, it has already been sent to the DPR because it is a Perppu.

The President reiterated that the benefit of the issuance of the Perppu, which provides access for the Directorate General of Taxes in order to gain access to financial information for the tax purposes of the financial services institution, is to follow the global commitments that have been signed many years ago. “Yes, this is a commitment of openness that we must follow,” he concluded. (DNA/FID/JAY/OJI/ES) (MUR/YM/Naster).