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Discourse of 0% New Car Tax, Used Car Merchants Are Worried about Rolling the Mat

Jakarta

The new car on the discourse will receive a tax exemption incentive of up to 0 percent. However, it is feared that this policy will disrupt the business of used car dealers.

If the policy is realized, it will make the price of new cars cheaper, on the other hand, people will be more interested in new cars because prices are not much different from used cars.

“It is certain that if there is a 0% tax (policy) for new cars, prices will drop drastically. On the other hand, we as used car players will be severely affected by a tremendous price correction,” Yopi said from Paskah Mobil to detikcom, Tuesday. (22/9/2020).

“The policy will make the used car market fluctuate a lot. While we have already borrowed money from the bank, it will threaten to cripple showrooms and threaten to go bankrupt,” Yopi complained.

This discourse was originally put forward by the Minister of Industry (Menperin) Agus Gumiwang. He admitted that he had filed for relaxation of a tax on the purchase of a new car of 0%.

What Yopi conveyed shows that there is jealousy for the new car business sector, with used cars during the COVID-19 pandemic.

“Our hope is that the government will be wiser in matters like this. Because we are also business actors. Many will go out of business, as a result many are unemployed,” he continued.

There has been no official decision on the tax relaxation plan, no matter how many incentive proposals the government grants. But if this happens, of course there will be a correction in the current selling price of cars.

According to Automotive Observer and Academician at the Bandung Institute of Technology (ITB), Yannes Pasaribu, the tax relaxation will disrupt the used car market if the price of new cars falls by more than 10 percent from the current selling price.

“If only 10% decrease will not interfere with the price of used cars, which are now lower in price compared to prices in the same month in 2019. If the price of new cars can be cut by around 10-25%, then it has the potential to further disrupt the used car market. “The next impact is that the selling price of used cars that has fallen will fall even further,” said Yannes when contacted by detik.com, Monday (21/9/2020).

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(admin / lth)





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