Indonesia president considers cutting corporate tax rate to 17%

President Joko Widodo set to announce "massive" deregulation package

JAKARTA: Indonesia's President Joko Widodo is considering cutting the corporate tax rate to 17% from 25% to match Singapore's tax rate, he was quoted as saying on the cabinet secretary's website on Wednesday.

"The thinking is simple. If Singapore's corporate income tax is 17% and ours is 25%, everybody will go there," Widodo told a tax amnesty roadshow on Tuesday night, according to the website.

The government is mulling over whether to directly cut the current tariff to 17% or to do it in two stages, where the tariff is first lowered to 20% and then 17%, the website said. - Reuters