The government has started the selection process for replacing the Finance Ministry’s director general of taxation, Darmin Nasution, who is slated to secure the central bank senior deputy governor post after being selected by lawmakers.
Lawmaker Dradjad Wibowo told The Jakarta Post on Tuesday the process was already ongoing, with the result expected to be announced soon.
“The candidates are career officials from the Taxation Directorate and officials from outside the agency but within the Finance Ministry,” Wibowo said.
The candidates outside the agency include Fiscal Policy Agency chief Anggito Abinmanyu, secretary to the Office of the Coordinating Minister for the Economy Eddy Abdurrahman and Capital Market and Financial Institution Supervision Agency (Bapepam-LK) chairman Fuad Rahmany.
While Dradjad refused to elaborate further, sources at the Taxation Directorate and the Finance Ministry cited the ministry’s secretary-general, Mulia Panusunan Nasution, as the strongest pick among the non-career tax officials.
Mulia, who was once the director general of treasury, is among the confidantes of Finance Minister Sri Mulyani Indrawati.
Among Mulyani’s top officials, Mulia is known for his outspoken attitude and strong opposition to the mentality of “keeping the boss happy” at any cost by covering up poor performances.
Mulia, who earned a doctorate in public administration from the University of the Sorbonne in France, could not be reached for comment.
The selection of the new tax chief is considered crucial for making or breaking the ongoing reforms at the tax office, which was once labelled as the country’s most corrupt agency before an overhaul was launched in mid 2007 by Mulyani and Darmin to root out persistent corruption.
The reform model at the agency is considered one of the most successful so far, not only in overhauling a department but also in changing the mentality of its civil servants.
Sources at the tax agency said most officials were widely concerned that any failure to pick the right person to head the tax office would risk ruining the hard work already done in cleaning up their own backyard from corrupt officials.
Analysts have said the sustainability of the reform at the tax office remains fragile as it is primarily based on improvisation by Mulyani and Darmin rather than on fundamental changes in the country’s overall bureaucracy.
Commitment from these key figures plays a major role in safeguarding the sustainability of reform.
Mulyani, however, pledged Tuesday that the reform at the agency would not be put in harm’s way regardless of Darmin leaving.
She refused to name the candidates for the replacement.
President Susilo Bambang Yudhoyo will have the final say on candidates proposed by Mulyani to fill in the tax chief post.
External candidates Current post
1. Mulia P. Nasution Finance Ministry secretary-general
2. Fuad Rahmani Chairman of the Capital Market and Financial Institution
Supervision Agency (Bapepam-LK)
3. Anggito Abimanyu Fiscal Policy Agency chief
4. Eddy Abdurrahman Secretary of the Office of the Coordinating Minister for
the Economy
Internal candidates current post
1. I Made Gde Erata formerly Taxation Directorate senior official,
now Finance Ministry Financial Training Agency chief
2. Djonifar Abdul Fatah Taxation Directorate secretary
3. Achmad Sjarifudin Alsah Head of tax regulation II
4. Amri Zaman West Java regional office
5. Sumihar Petrus Tambunan Director for income tax
6. Suharno Head of East Java regional office III
7. Riza Noor Karim Head of large tax office
8. Estu Budiarto Head of South Sumatra and Bangka Belitung regional office