News
Sri Mulyani Targets 2022 Tax Ratio of 8.37%-8.42%, These are the Strategy

Wednesday, 02 June 2021

Sri Mulyani Targets 2022 Tax Ratio of 8.37%-8.42%, These are the Strategy

JAKARTA. Minister of Finance Sri Mulyani targets Indonesia's tax ratio in 2022 to be in the range of 8.37% to 8.42% of Gross Domestic Product (GDP).

This figure is higher than the target set by the government this year, which is 8.18% of GDP, and in 2020 which is 8.33% of GDP.

Citing Bisnis.com, the increase in the tax ratio target is in line with the government's efforts to consistently carry out tax reform and economic recovery.

One of the improvements that will be made is in the field of administration and tax policies that are better and fairer.

Tax Policies in 2022

In general, there are three policies that will be implemented to achieve these targets, namely:

  1. Exploring tax potential by monitoring and mapping compliance according to risk.
  2. Expanding the tax base by adding tax objects and extensification by region.
  3. Adjusting tax rules to suit the structure and character of the economy.

Tax Amnesty Scheme

One of the policies that will be implemented to increase revenue is to issue a tax amnesty policy or tax amnesty volume II. This policy is in the form of eliminating administrative sanctions for taxpayers who want to disclose their assets that have not been reported in the Annual Tax Return (SPT).

Quoting cnbcindonesia.com, this facility is given to taxpayers who have participated in the first tax amnesty program or who have not. For taxpayers participating in the first tax amnesty who wish to disclose their assets, a final income tax rate of 15% of the value of the assets will be imposed. However, if the asset is held in investment instruments set by the government, the final income tax rate to be paid is lower, that is only 12.5%

Meanwhile, for taxpayers who have not participated in the previous tax amnesty program, a final income tax rate of 30% will be imposed. If the assets are invested in investment instruments appointed by the government, the income tax rate is lower, which is 20% of the value of the assets.

Read: Tax Amnesty Vol. 2 Offers Tariffs Up To 30% Of Asset Value

VAT Proposed to Be Single Rate

In addition, the government also plans to change the rate of Value Added Tax (VAT) to 12%, higher than the current rate of 10%.

The rate will apply to all types of goods and services or are singular. This scheme is different from several proposals submitted by the previous government, which stated that it would use a multi-tariff scheme.



Related

MSI Global Alliance

Global Recognition
Global Recognition | Word Tax    Global Recognition | Word TP
Contact Us

Jakarta
MUC Building
Jl. TB Simatupang 15
Jakarta Selatan 12530

+6221-788-37-111 (Hunting)

+6221-788-37-666 (Fax)

Surabaya
Graha Pena 15th floor
Jl. Ahmad Yani 88
Surabaya 60231

+6231-828-42-56 (Hunting)

+6231-828-38-84 (Fax)

Subscribe

For more updates and information, drop us an email or phone number.



© 2020 All Rights Reserved
Need Our Services?