REPUBLIKA.CO.ID, TIMIKA -- The provincial administration of Papua would continue the fight for right over tax revenue of Rp14 trillion a year from PT Freeport Indonesia which operates large gold and copper mines in Papua, a local official said.

For tens of years the tax revenue has become a regional income of the Jakarta province instead of Papua, Snell Elisabeth, head of regional income unit of Timika said.

Papua has so far lost potential regional income in corporate income tax from PT Freeport as the US company has continued to pay the corporate tax to the Jakarta provincial administration, Elisabeth said here on Friday.

The corporate income tax has been given to the Jakarta city administration only because the head office of PT Freeport Indonesia is in the city, she said

"We have continued to fight that the corporate income tax of PT Freeport is paid to the Papua province. If this could be made a reality the regional income of Papua would increase," she said.

She said the fight for right over the tax revenue involves not only the Papua provincial administration but also the Mimika district administration.

Mimika has a large contribution to the copper and gold production of PT Freeport, therefore, it deserves a proportional share of the income.

Elisabeth said currently Papua Governor Lukas Enembe is facing a big fight to win the right over the tax revenue.

This year, the Papua provincial administration has set a target for regional income at Rp1 trillion . One of the biggest tax payers expected to boost Papua regional income is PT Freeport Indonesia.

"We from the provincial regional income service (Dispenda) has been charged by the governor with a duty to increase the regional income to Rp1 trillion from PT Freeport this year," Elisabeth said.

From 1992 to 2013, in line with the contract of work signed by PT Freeport in 1991, the company had paid US$15.2 billion to the government including US$9.4 billion in corporate income tax (60 percent of total contribution of Freeport to the government), US$3 billion in labor and other taxes, US$1.5 billion in royalty and US$1.3 billion in dividend.

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