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Indonesia court rules tax amnesty law is constitutional

JAKARTA (Reuters) - Indonesia's Constitutional Court on Wednesday declared a law backing the government's flagship tax amnesty program as constitutional, judge Arief Hidayat said.

The court rejected arguments by one group of plaintiffs who contended the law hurt efforts to fight money laundering and corruption. The legal challenge was filed in July.

Later on Wednesday, the court is expected to rule on three other judicial review requests.

Despite the legal challenge, the government continued with the program, which began in July and will last until March.


So far, the program has drawn nearly 500,000 participants who declared more than 4,000 trillion rupiah ($301.2 billion) of previously untaxed assets, according to government statistics.

(This version of the story corrects second paragraph to say the ruling was for one group of plaintiffs, instead of four.)

(Reporting by Hidayat Setiaji; Writing by Gayatri Suroyo; Editing by Richard Borsuk)