TheJakartaPost

Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post

Tax office optimistic about meeting Rp 1.28q revenue target

  • News Desk

    The Jakarta Post

Jakarta   /   Mon, October 16, 2017   /   11:16 am
Tax office optimistic about meeting Rp 1.28q revenue target Yon Arsal, the tax revenue and compliance director at the Directorate General of Taxation (JP/Anton Hermansyah)

The tax office has expressed its optimism that it will meet its target of Rp 1.28 quadrillion (US$95.19 billion) in tax revenues by the end of 2017, although it had only achieved 60 percent of the target by September, reported kontan.co.id.

Tax revenue and compliance director Yon Arsal of the Directorate General of Taxation said over the weekend that it had collected Rp 770.7 trillion in taxes as of September, which was 12.6 percent higher than taxes collected in the corresponding period last year.

“Value-added taxes (PPN) from imported goods grew between 18 to 20 percent. It means that the industry has started growing. Meanwhile, PPN from domestic goods also grew 18 percent,” Yon said was quoted as saying.

Read also: Tax collection among Indonesia’s latest fiscal challenges: IMF

He also recorded that the income tax collection had also started to grow by 4 percent, although it grew negatively to mid-June. “This is good, because [income tax contributes] about 8 to 9 percent to the total revenue,” he added.

Yon said land and property taxes from the oil and gas sector would contribute significantly to revenues in the coming months. “They have not yet paid their taxes, but it will happen soon,” he said.

The tax collection will also be driven by a follow-up to last year’s tax amnesty and also taxes from government spending, Yon said.

Center of Indonesian Tax Analysis (CITA) executive director Yustinus Prastowo has estimated the government would only collect Rp 1.14 quadrillion by the end of this year. (bbn)