The Papua Provincial Government have been attempting to collect PT Freeport Indonesia’s tax arrears including its fine for four fiscal years (2011-2015). Freeport is required to pay this tax because the Papua Government claims that Freeport uses water in the Ajkwa river to withstand its tailings deposits (mining residue). Freeport, meanwhile, questioned the Decree of Regional Tax for Surface Water Tax (SKPD PAP) No. 973/1783 dated October 8, 2014. So the tax dispute was brought to the Tax Court. At the beginning of last year, the Tax Court sided with the Papua Government. But in April 2017, Freeport filed for a Reconsideration at the Supreme Court on the grounds that the tax regulation used by the Papua Government could not be applied to Freeport who operates under the Working Contract (KK). The Supreme Court sided with Freeport.To subscribe please click here