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Taxpayers' voluntary compliance reaches 85% in 2017

Taxpayers' voluntary compliance reaches 85% in 2017 Director General of Taxation Robert Pakpahan said the more people voluntarily paid their taxes, the easier it would be to calculate total tax revenue. (kompas.com/Yoga Sukmana)
News Desk
Jakarta   ●   Thu, February 1, 2018 2018-02-01 16:30 1192 2c798a31c212039f000dc5df9c387b9c 4 Business Taxpayers-voluntary-compliance,robert-pakpahan,2017,2018 Free

Director General of Taxation Robert Pakpahan has said about 85 percent of Rp 1.34 quadrillion (US$99.82 billion) was paid voluntarily by taxpayers last year.

Meanwhile, the remaining 15 percent of tax revenue was collected through extra measures by tax officers, such as issuing warning letters, as well as other methods, he added.

“We hope we can increase [the voluntary compliance of taxpayers] to 90 percent this year,” said Robert in Jakarta on Thursday as reported by kontan.co.id.

Last year, the government targeted to collect Rp 1.45 quadrillion in tax revenue in the 2017 state budget, but it could only achieve about 91 percent of the target.

The more taxpayers voluntarily pay in their taxes, the easier it is for the government to estimate the tax revenue that would be collected, Robert said.

In trying to encourage people to pay taxes, Robert said, his office would combine tough law enforcement with improvements in service. “Theoretically, through a soft approach, the tax office could collect more tax revenue,” he added. (bbn)