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Thursday, 27 November 14
MINING SERVICES TAX SPIKED BY 233% - BISNIS INDONESIA

COALspot.com: The Energy and Mineral Resources Department of Indonesia said the tax contribution from mining services sector in the 3rd Q 2014 reached Rp 35 trillion (according to prevailing exchange rate approximately US$  2,875,924,404.27), a hike of 233% from the same period last year, as reported by Bisnis Indonesia last week.

As quoted by paper, the Director General of Mineral and Coal of Indonesia, R Sukhyar said that the mining services business in Indonesia is still thriving despite the government's regulation on mineral ore export ban.

"There are 969 companies in the mining services sector. The point is that their tax contribution has increased significantly, which means that the mineral export ban has not hinder this sector," he said Tuesday (18/11).

The Bisnis Indonesia, an Indonesian local news paper further said that, in regards to concentrate export ban to be enacted in 2017, Sukhyar was optimistic that the mining services sector will continue to thrive.

He argued that the contraction in the business sector will only be temporary as a result of adjustment by the mining companies towards the new regulation, the paper said.



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