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Jakarta Post

Restaurants, nightlife spots in South Jakarta in tax arrears

News Desk (The Jakarta Post)
Jakarta
Tue, October 24, 2017

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Restaurants, nightlife spots in South Jakarta in tax arrears South Jakarta tax officer pastes a notice at a business establishment that has yet to pay its taxes. (Antara Photo/Rosa Panggabean)

S

ome 30 to 40 percent of restaurants and nightlife spots in South Jakarta haven’t paid their taxes since January, an official said.

South Jakarta Tax and Levy Board head Yuspin Dramatin said on Tuesday that among 2,297 restaurants, 31.4 percent of them had not paid their taxes, while the percentage for nightlife spots was 40.5 percent of 234 places.

“In South Jakarta, 730 out of 2,297 restaurants have tax arrears, and for nightlife spots it’s 95 out of 234 places,” Yuspin said on Tuesday, as quoted by kompas.com, adding that most of the places were located in Kebayoran Baru. 

The agency has tried to collect the tax arrears, from sending warning letters to installing stickers or banners stating that the restaurant or the nightlife spots have not paid their taxes.

“From the end of October until the beginning of November, we will keep chasing them by installing bigger banners,” Yuspin said.

South Jakarta targets to collect Rp 6.3 trillion (US$465.5 million) in tax revenue this year, but so far has been able to collect only Rp 5.3 trillion as of this month.

Meanwhile, restaurants are the third-largest tax contributors, paying Rp 983 billion in taxes, with the Land and Building Tax (PBB) accounting for most of that figure.

To solve the problem, Deputy Jakarta Governor Sandiaga Uno earlier said that the city administration would ask for assistance from the Corruption Eradication Commission (KPK) and the Jakarta Prosecutor’s Office to collect tax arrears from restaurants. (wnd)

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