Tax Incentives in Spatial Planning and Regional Taxes: A Conflict of Norms for the Acceleration and Ease of National Strategic Project

DOI

10.2991/978-2-38476-164-7_50How to use a DOI?

Keywords

Conflict of Norm; National Strategic Project; Regional Tax; Tax Incentives

Abstract

Tax incentives are used as spatial planning controllers when a person or a legal entity could utilize a space according to the plan by the Regional Government. The norm conflict occurs when the national strategic project gets the opportunity to receive fiscal incentives in the form of tariff adjustments despite there being an absent Regional Regulation that justifies its utilization. These incentives can be given even if the national strategic project is not in accordance with regional spatial planning, as long Central Government issues a recommendation for spatial planning suitability. So it is necessary to conduct a study to determine the preferences of tax incentive policies that are used when there is a conflict of norms. As well as initiating incentive policies that balance the interests of controlling spatial planning and ease of doing business. To answer these legal problems, normative legal research is used with a conceptual and statutory approach. Based on the theory of legal preferences, lex specialist derogate legi nngenerali, tax incentives can still be given to facilitate national strategic projects based on Law Number 1 of 2022 and its technical regulations. However, in order to maintain spatial utilization and environmental protection, the theory of tax regulation and the theory of the polluter pays principle needs to be applied in order to provide ideal notion, where not all types of regional taxes, specifically regional environmental taxes, should exclude as incentives object. Furthermore, it’s necessary to regulate specific tax and retribution as incentive object such as land and building tax, acquisition fees on land and buildings, certain goods and services tax, and certain permit retribution.

Copyright

© 2023 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Siti Rahma Novikasari
PY  - 2023
DA  - 2023/12/21
TI  - Tax Incentives in Spatial Planning and Regional Taxes: A Conflict of Norms for the Acceleration and Ease of National Strategic Project
BT  - Proceedings of the 3rd International Conference on Law, Governance, and Social Justice (ICoLGaS 2023)
PB  - Atlantis Press
SP  - 551
EP  - 560
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-38476-164-7_50
DO  - 10.2991/978-2-38476-164-7_50
ID  - Novikasari2023
ER  -