JAKARTA – Business players in the credit guarantee industry are demanding regulatory improvements in the sector, specifically revisions to Minister of Finance Regulation No. 222/2008 concerning Credit Guarantee Companies and Credit Reinsurance Companies.
The main issue raised pertains to the status of reserve funds. Currently, reserve funds in the guarantee industry are considered expenses and are therefore subject to taxation. This contrasts with the insurance industry, where mandatory reserve funds are not classified as expenses and are exempt from taxation.
Guarantee industry practitioner Mulyono echoed similar sentiments. He argued that the regulations governing credit guarantees, as outlined in the Minister of Finance Regulation (PMK) on Guarantee Institutions, should align with the policies applied in the insurance industry.
"If reserve funds are not part of a company's income, then it is not appropriate to tax them. It makes no sense to impose taxes on funds that do not come from revenue," he stated.
Currently, the highest legal framework governing the guarantee industry is Presidential Regulation No. 2/2008 concerning Guarantee Institutions, which also regulates reinsurance and Sharia-based guarantees.
Nahid believes that to further develop the industry, guarantee business players need a stronger legal foundation, equivalent to a dedicated law (UU). The absence of such a law may be due to the limited number of players in the industry.
As of now, only three credit guarantee companies exist, namely:
- Jamkrindo
- PT Penjamin Kredit Pengusaha Indonesia (PKPI)
- PT Jamkrida Jatim
(Source: kontan.co.id)