GOVERNMENT REGULATE TAX IN SYARIAH FINANCING AND BANKING

            The Government had issued two regulations, respectively Regulation of the Ministry of Trade no. 136/PMK/03/2011 which regulated income tax on Financing Business of Syariah, and Regulation of the Ministry of Finance no 137/PMK.03/2011 on the imposition of Income tax on Syariah Banking Activities.

            In the Regulation of the Ministry of Finance No. 136/PMK.03/2011 on Financing Business of Syariah, it was underscored that taxation on operation lease based on Ijarah was treated the same as financial lease without option, while financial lease of Ijatah Muntahiah Bittamliq and the same treatment as financial lease with option rights.

          In case of Wakalah Bil Ujrah accounts receivables and consumers’ financing based on Akad Murahabah, Salam and Istrishna, income tax would be imposed on the profit in accordance with regulations of income tax on interest. Furthermore ob income from credit card business and financing based on other Syariah business, income tax would be imposed in accordance with the stipulations in the Law of Income Tax.

            As with the Regulation of the Ministry of Finance No. 137/PMK.03/2011 it was mentioned that on Syariah banking business activities, income in the form of bonus, profit sharing, profit margin, income tax would be imposed in accordance with stipulations of imposition of income tax on interest. Meanwhile on other on other incomes, income tax was imposed in accordance with the regulations which regulated transactions between Syariah banks and facilities – receiving customers.

            Financing of Syariah funding activities and Syariah banking referred to the Law and Regulations on Income Tax. In case of transfer of assets or leasing of assets which was mandatory to fulfill the principles of Syariah, it was not understood as transfer of assets as stated in the Law of Income Tax. Therefore, such transfers were regarded as direct transfers by the third party to the customers to whom income tax was imposed in accordance with the applicable tax regulations.

           With the release of two tax regulations, it was expected there would be synchronized perceptions about the application of taxation rules and business practices based ob Syariah principles. This was message of the press release made by the Director of Service Illumination and Public Relations, Dedy Rudaedi in Jakarta on Monday (16/1).