JAKARTA: Ford Motor Indonesia, which shut operations in the country in early January, is now under investigation by the Indonesian Finance Ministry following recent findings of irregularities in the latter’s report on paid luxury tax.
Local English newspaper The Jakarta Post quoted the ministry’s directorate general for customs and excise spokesperson Denny Surjantoro as saying that based on the findings, Ford Motor Indonesia had only reported paid luxury tax for the 10-seater variant of its Everest model, although the company had also imported the model’s seven-seater variant into the country.
He said that the investigation is still ongoing even though the American carmaker has shut operations in the country. Under a 2006 government regulation on luxury tax, the Indonesian government imposes a 20 per cent tax on seven-seater cars and a 10 per cent tax on 10- to 15-seater variants.
In January, Ford announced it would shut operations in Indonesia and Japan, citing the company’s small market share in both countries.