The Jakarta Post
Tax system digitalization will provide a potent second shot in the arm to accompany recent COVID-19 vaccine breakthroughs as Indonesia strives to provide relief from the pandemic’s devastating impact and pursue post-pandemic recovery and growth. Digitalization is not the ultimate objective. Instead, it is a tool to enable the Directorate General of Taxation (DGT) to fulfill its mission better. A report by the United Nations-based Better Than Cash Alliance finds that digitalization of tax systems in emerging markets, when coupled with complementary administrative reforms, can raise annually an additional US$300 billion worldwide. This can help close much of the fiscal gap that threatens achievement of both the UN’s Sustainable Development Goals and Indonesia’s vision to become a high-income nation by 2045. The government has been extremely proactive in respon...