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Extension of Employee Tax Exemption Incentives – Next, we will provide reliable articles that we have summarized and made as light as possible, so that they can be read by all groups, along with the extension of employee tax exemption incentives.

The government has extended the period for granting Government-borne Income Tax Article 21 (DTP) incentives until June 30, 2021.

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Extension of Employee Tax Exemption Incentives

1. Tax free provisions

In the post, it is explained that this rule will apply to employees who work at companies engaged in one of the 1,189 specific industrial fields, companies that get export-destination import facilities (KITE), and companies in bonded zones can get income tax-borne facilities. government.

“This facility is given to employees who have a fixed and regular tax ID and annualized gross income of not more than Rp. 200 million in designated sectors,” he wrote.

2. The uncut tax shall be given in cash

The statement also states that employees who are affected by this rule will receive cash as proof of not being subject to tax deductions.

“The employee will get additional income in the form of tax which is not deducted by the employer but is given in cash to the employee,” he explained.

“If the taxpayer has a branch, the notification of the use of PPh Article 21 incentives is sufficient to be conveyed by the central taxpayer and applies to all branches,” he added.

Also Read: The Cause is Considered to be a Less Professional Employee

3. Other incentives

In addition to extending Article 21 PPh tax incentives, the government also extended the UMK Tax Intensive, Construction Services Final Income Tax Intensive, Article 22 Import PPh Intensive, Article 25 PPh Installment Intensive, and VAT Intensive.

This tax incentive was provided by the government to help alleviate the economic impact of the COVID-19 pandemic.

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