In order to achieve meaningful participation from stakeholders, Directorate General of Taxes (DGT) in collaboration with the East Java Provincial Government held a kick off socialization of Law Number 11 of 2020 concerning Job Creation (Job Creation Law) tax clusters in Surabaya (25/8/2022). This event was held as a follow-up to Constitutional Court (MK) Decision Number 91/PUU-XVIII/2020 which decided Job Creation Law as conditionally unconstitutional on November 25, 2021. Job Creation Law socialization was broadcast live on DGT’s official channel.
One of the reasons for Job Creation Law's conditionally unconstitutional stipulation is that there is no room for maximum public participation in discussing academic texts and material changes in Job Creation Law. Therefore, in accordance with President Joko Widodo's directives, relevant Ministries and Institutions carried out massive socialization of the Job Creation Law in order to provide information and obtain full participation from the public regarding provision change in Job Creation Law.
Further Job Creation Law socialization is carried out at least 4 times during August to September 2022. In this socialization, there are 3 elements that must be met, namely:
- Fulfillment of the right to be heard;
- Fulfillment of the right to be considered; and
- Fulfillment of the right to get an explanation or answer to the opinion given.
Job Creation Law socialization was delivered by the Director of Tax Regulations I Hestu Yoga Saksama and the Director of Tax Regulations II Estu Budiarto. They did not explain each of the regulated provisions in detail because Job Creating Law socialization had been done before. The emphasis is on explaining the arguments for developing the rules and obtaining testimonials or perspectives from taxpayers and practitioners who have practically implemented Job Creation Law.
Tax Consultants, Associations, Indonesian Tax Consultants Asociations (IKPI), Academics, Heads of Tax Offices, and prominent taxpayers from the East Java 1 Regional Office, East Java 2 Regional Office, and East Java 3 Regional Office, as well as other parties, attended the socialization.
Tax clusters in Job Creation Law are expected to increase investment, encourage voluntary compliance, provide legal certainty, and ensure the availability of businesses, as well as provide justice in the business climate. Neilmaldrin Noor, Director of Counseling, Services, and Public Relations at the DGT, also explained that the Job Creation Law is the government's effort to fulfill citizens' right to work and earn a decent living for humanity.
"This is to achieve the goal of establishing an Indonesian state government and to embody a prosperous and equitable Indonesian society based on Pancasila and the 1945 Constitution," added Neil in his speech.
In a formal review conducted by Constitutional Court, conditionally unconstitutional decision in the Job Creation Law was ordered to be revised within 2 years of decision issuance. This decision was also based on the argument that the procedure for establishing Job Creation Law was not based on definite and standard methods, as well as the systematic formation of laws in accordance with Law Number 12 of 2011 concerning the Establishment of Legislations.
In addition to further socialization, government has established a legal basis standard for the establishment of Omnibus Law on June 16, 2022, through the ratification of Law Number 13 of 2022 concerning the Second Amendment to Law Number 12 of 2011 concerning the Establishment of Legislation.
In these provisions, several main provisions are regulated, including meaningful participation, the use of omnibus law in the formation of laws and regulations, and establishment of laws and regulations electronically.
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