Fauzi calls for probe into possible parking tax leak

Jakarta Governor Fauzi Bowo has expressed discontent at his administration’s failure to reach the parking tax target in 2011, and has called for an investigation into the matter.

“There has to be an investigation into the case. I have instructed the city inspectorate to investigate relevant institutions on the matter, whether it is the parking management unit or the Tax Service Agency officials that have been in contact with private operators,” he said Monday, as quoted by tribunnews.com.

He added that he would also request that an independent audit be carried out on private parking operators and state agencies to check for leaks in state revenue from parking tax.

The city administration set a target of Rp 185 billion (US$20.37 million) from parking tax but only collected Rp 157.38 billion, or 85.05 percent of the target.

To ensure that such a problem did not reoccur, Fauzi said the city administration would use an online parking tax system, which would connect parking tax payments straight to an online tax system in use at the city Tax Agency.

“However, the tax collection mechanism needs to wait for the parking bylaw revision, which is currently still being discussed by the City Council,” he said. (awd)