I’m shocked. Gobsmacked really, when I saw on Metro TV that the head of Gaikindo proposed a tax reduction for private vehicles instead of a tax bump to increase the government’s tax revenue directly to the country’s Vice President. This was on Metro TV’s round-table discussion on the VP’s view of the global economic crisis that aired just moments ago tonight.
Okay, I understand how that would work. More people will be able to afford cars and bikes and thus fill up the government’s coffers more quickly from that sector.
However. That means more congestion and more pollution in this country! More people owning more cars when the government of Jakarta recently revealed that by 2014 the city will be covered in gridlock due to overcrowding of vehicles. Growth of car and motorcycle ownership has by far exceeded the growth of roads in this city and their ability to serve those vehicles. There’s just way too many roads that are sub-standard and unmaintained which lead to more damaged vehicles caused by bad roads and more accidents.
Instead of reducing motor vehicle taxes, why not impose an age limit to vehicles, say 10 or 15 years, before the owners have to pay a much more significant tax to keep the vehicle and make it easier for those owners to purchase newer cars or bikes?
I realize that old doesn’t necessarily mean bad so if those owners can show that their cars are just as good as newer ones, they can get a tax break.
This way car dealerships will be able to sell more vehicles, meet their quota, people are able to own cars more easily and the number of vehicles on roads won’t rise as quickly because those older, less maintained cars and bikes won’t be crowding the streets! Those taxes would then be channeled to fix the ailing public transport system across the country.
*also applies to buses, trucks and any other road-based motor vehicles, publicly or privately owned.
Oh wait, I forgot this is Indonesia. Solutions that make sense rarely make it through and when they do there’s just so many red tapes and back play that it will end up much more complicated and convoluted to be practically applied.
*facepalm*
AuliaSays 