The 2023 Tax Revenue Target Increases by IDR 100 Trillion

JAKARTA. The tax revenue target for 2023 has been revised upwards, after the government issued changes to the 2023 State Budget (APBN) posture, through Presidential Regulation (Perpres) Number 75 of 2023.

With this change, the tax revenue target is set to be IDR 100 trillion higher than the original target of IDR 1,718 trillion. Thus, in the latest target, tax revenue is set at IDR 1,818 trillion.

This increase is based on the government's optimism in seeing economic growth this year as well as the movement of tax revenue realization from month to month.

Economic growth is estimated to reach 5.1% while the realisation of tax revenue until the third quarter cumulatively is still positive at the level of 5.9%.

If detailed, not all types of taxes have increased. For example, Value Added Tax (VAT) and Sales Tax on Luxury Goods (STLG) revenues are even estimated to be lower than the initial target.

The same applies to the Land and Building Tax and Other Tax targets. Meanwhile, income tax consisting of oil and gas and non-oil and gas income tax is targeted to increase from IDR 935.06 trillion to IDR 1,049 trillion. (ASP/KEN)