Tax Revenue Realization in October Amounted to IDR 1,523 trillion, Sri Mulyani Optimistic that 2023 Tax Target Can Be Achieved
Friday, 24 November 2023
JAKARTA. Minister of Finance Sri Mulyani stated that the realization of tax revenue until the end of October 2023 had reached IDR 1,523.7 trillion. This amount equals 88.69% of the target set in the 2023 State Budget (APBN).
Therefore, Sri Mulyani is confident that the tax revenue target set in Presidential Regulation (Perpres) Number 75 Year 2023 can be achieved in the remaining two months, before the end of the year.
The tax revenue target the government sets in the regulation is IDR 1,818.24 trillion. Previously, the government revised the tax revenue target upwards, from IDR 1,718.03 trillion.
"In two months, we will encourage the Directorate General of Taxes (DGT) to achieve the target set," Sri Mulyani said as stated in the presentation of the realization of the 2023 State Budget, Friday (24/11).
In detail, the realization of tax revenue until the end of October consisted of non-oil and gas income tax of IDR 836.79 trillion or 95.78% of the target. Then oil and gas income tax amounted to IDR 58.99 trillion or 96.01% of the target.
Meanwhile, the realization of Value Added Tax (VAT) and Sales Tax on Luxury Goods (STLG) revenue was realized at IDR 599.18 trillion. Lastly, the revenue of land and building tax (PBB) and other taxes was realized at IDR 28.74 trillion or 71.84% of the target.
Slowdown Continues
However, if we compare it with the realization in the same period in 2022, tax revenue until October 2023 only recorded a growth of 5.3%.
This growth rate is lower than the realization of revenue in the previous months. This means that the trend of slowing tax revenue growth continues.
Sri Mulyani views this condition as normal. Considering last year's tax revenue, which was used as a baseline, experienced very high growth.
Apart from that, the decline in commodity prices this year also put pressure on tax revenue performance. In addition, in 2022 there will be additional revenue from the voluntary disclosure program (VDP) which did not occur this year. (ASP/KEN)
