Keluh Kesah Pedagang soal Pajak Tinggi: "Daya Beli Rendah, Situasi Kami Sedang Berdarah-darah"

Summary

The video discusses the impact of the government’s decision to increase the Value Added Tax (VAT) to 12%, focusing on the reactions from various sectors. It highlights the concerns of business owners, particularly in the fashion industry in Tanah Abang, who are facing declining sales and mounting costs. The government’s move to target luxury goods with the tax hike is addressed, with discussions from economic experts and lawmakers on how to mitigate the impact on small businesses and the general public. The conversation explores the balance between legal obligations and the realities faced by businesses.

Takeaways

• 😀 The government has decided to raise the Value Added Tax (VAT) to 12%, as mandated by law, but it will only apply to luxury goods.
• 😀 Many people reacted negatively to the VAT increase, although the government assures it will not apply to essential goods.
• 😀 Business owners, particularly in the fashion industry, are concerned about the negative impact of the VAT increase on consumer purchasing behavior.
• 😀 The fashion market, especially in Tanah Abang, has already been struggling due to low consumer demand and the effects of the COVID-19 pandemic.
• 😀 The increase in VAT is expected to make people more hesitant to spend, especially since fashion is considered a non-essential good.
• 😀 Pedestrians in Tanah Abang, Indonesia's largest market, have significantly decreased, with a reported 75% drop in foot traffic due to economic challenges.
• 😀 The business owners are facing additional financial burdens, such as paying high rental fees and employee wages, despite low sales.
• 😀 There is a fear among traders that the VAT hike may eventually extend beyond luxury goods, negatively impacting other product categories.
• 😀 The government's decision to raise VAT is seen as a necessary implementation of existing laws, but some lawmakers and citizens believe it could harm businesses further.
• 😀 Lawmakers, such as Bapak Saleh Daulay, emphasized that the government should ensure the VAT increase does not unduly burden lower-income communities, focusing only on luxury goods.

Q & A

What is the primary concern raised in the discussion regarding the increase in VAT (Value-Added Tax)?

The primary concern is that the increase in VAT from 11% to 12% could negatively affect businesses, particularly in sectors like fashion, where consumer spending is already low, and it could lead to reduced sales and further financial difficulties for small traders.

What specific type of goods will the 12% VAT increase apply to, according to the government decision?

The 12% VAT increase will specifically target luxury goods, not everyday essential products, in an attempt to prevent it from burdening the broader population.

How does Ibu Maslin, a vendor at Tanah Abang, feel about the VAT increase?

Ibu Maslin expresses concern that the VAT increase will worsen the already challenging business environment, particularly for fashion items, which are considered non-essential goods. She fears it will lower consumer spending even further.

What impact has the COVID-19 pandemic had on businesses in Tanah Abang, as described by Ibu Maslin?

The COVID-19 pandemic has had a severe impact on businesses in Tanah Abang, with a 75% decline in foot traffic and sales, resulting in many traders closing down or reducing the number of stores they operate.

What is the current state of consumer purchasing power in Tanah Abang, as noted by Ibu Maslin?

Ibu Maslin mentions that consumer purchasing power is extremely low, with people hesitant to spend, especially on non-essential items like fashion. This has led to a significant decline in sales.

What concerns do traders in Tanah Abang have about the government’s handling of VAT and luxury goods?

Traders, including Ibu Maslin, are concerned that the government's categorization of goods as 'luxury' may expand over time, eventually encompassing more products and worsening the financial situation for businesses like theirs.

What is the role of Bapak Saleh Daulay, and how does he view the VAT increase?

Bapak Saleh Daulay is a member of the Indonesian parliament, and he believes that the VAT increase, while controversial, is in line with government obligations to implement laws. He stresses that the aim is not to burden the public but to comply with existing legal requirements.

How does the government plan to mitigate the negative effects of the VAT increase on the general public?

The government plans to limit the VAT increase to luxury goods, which are primarily purchased by wealthier individuals, in an effort to avoid impacting everyday consumers or essential goods.

How does Ibu Maslin perceive the government's approach to the VAT increase?

Ibu Maslin is skeptical about the government’s approach, particularly the classification of 'luxury goods.' She fears that this could eventually lead to more widespread VAT increases, which would further harm businesses like hers.

What is the current economic environment like for small business owners in Tanah Abang?

Small business owners in Tanah Abang are facing a dire economic environment, with many experiencing significant financial losses due to low consumer spending, the effects of COVID-19, and the challenges posed by the VAT increase. Many are reducing the number of stores they operate.