Jakarta, indonesianpost.com – The Ministry of Finance stated that the 2024 tax policy will be directed at strengthening economic transformation to make it resilient amid various challenges.
“The general tax policy in 2024 is directed at economic transformation, so that it can continue amid various challenges,” Director of Potential, Compliance, and Revenue at the ministry’s Directorate General of Taxes Ihsan Priyawibawa remarked.
Priyawibawa made the statement at the Finance Ministry’s Media Gathering event in Bogor, West Java, on Tuesday.
In the commitment, the ministry prepared five strategies to strengthen tax revenue.
The first strategy is encouraging an improvement in compliance and technological integration in the tax system. Second, expanding the tax base through intensification and extensification.
Third, strengthening synergy through joint programs, data utilization, and law enforcement with ministries and institutions and other government officials.
The fourth strategy is maintaining the effectiveness of implementation of the Law on Harmonization of Tax Regulations to encourage an increase in tax ratio.
Meanwhile, the last strategy is preparing tax incentives to be more targeted and measured so as to support the business climate and competitiveness as well as economic transformation with high added value.
The government is targeting the tax revenue in the 2024 state budget to reach Rp2,309.9 trillion (around US$149.46 billion).
Priyawibawa said he is optimistic that this target would be achieved, considering the performance of tax revenue has remained positive so far, with the latest achievement in August 2023 recorded at Rp1,418.5 trillion (around US$91.78 billion).
Earlier, at the plenary session of the House of Representatives (DPR) in Jakarta on September 21, Finance Minister Sri Mulyani Indrawati stated that the tax ratio is targeted to continue to increase.
The effort made is maintaining the investment climate amid the global economic turmoil and the risk of fluctuations in commodity prices.
The government will also continue to use tax incentives to support households and encourage economic growth.
State revenue in 2024 is estimated at Rp2,802.3 trillion (around US$181.25 billion).