Tax Amnesty Program Penalty Payments Reaches Rp19.4 Trillion

Cabinet Secretary Pramono Anung hands a memento to the speaker of Tax Anmesty Dissemination Suryo Utomo on Thursday (15/9), at the Building III of the Ministry of State Secretariat

According to the data from the Directorate General for Taxation of the Ministry of Finance, the Ministry has recorded the declared assets of taxpayers from the tax amnesty program reaching Rp 500 trillion, and penalty payments reaching Rp19.4 trillion.

“Although the program was met with pessimism at the beginning, now everytime I meet business players I always ask them whether they will take part in the tax amnesty program or not. They all said that they will take part in the program. Unless, there is no other opportunity,” Cabinet Secretary Pramono Anung said in a Tax Anmesty Dissemination for Presidential Institutions on Thursday (15/9), at the Building III of the Ministry of State Secretariat.

Therefore, the targeted revenues worth Rp165 trillion from the Tax Amnesty program that is included in the 2016 Revised State Budget will be our benchmark. However, Pramono asserted that the most important thing for the Government and the President is that the Tax Amnesty program will widen the tax base.

Pramono added that this year’s Annual Tax Assessment (SPT) report increased significantly because people start to have awareness on taxes.

However, Pramono asserted that the Tax Amnesty program is citizens’ right, not their obligation.

The essence of tax amnesty is repatriation and declaration for people who have huge amount of capital abroad, not for small people, he added.

“From Rp500 trillion of declared assets, mostly is sourced from business sector, because they own huge amount of capital and money,” Pramono explained.

Previously, Pramono said that during the G20 Summit in Hangzhou, China, as well as ASEAN Summit in Vientianne, Laos, a week ago, almost all countries participating in the summits appreciated Indonesia’s reform.

“In fact, President of the United States Barack Obama claimed President Jokowi has appreciated the change of policy. So far, there are 13 policies which have been issued by the Government.

Pramono asserted that the appreciation indicated positive signal from the world, and showed that other countries also pay attention to that matter. President Obama also appreciated Indonesia for the reform on economic policy sector.

Amid the economic slowdown, Indonesia is considered to still have an excellent economic growth. Currently, Indonesian economy is at third place in G-20 after China and India.

“Indonesia received many appreciation for its excellent economic growth abroad, but in our very country, we received many criticism on social media,” Pramono added.

In fact, Indonesia has consolidated politic, economy, democracy, social, culture, and other sector. The simultaneous regional election also ran well.

According to Pramono, the world community sees us as one portrait of mature democracy. There is no other country which has our kind of democracy, in which people elect their own leader, including the village head, Pramono added.

“The United States of America is actually not as liberal as Indonesia in implementing democracy. Indonesian citizen can participate in every election, including election to elect members of the House of Representatives (DPR), Regional House of Representatives (DPRD), Regional House of Representatives at Provincial level, the Regional Representative Council (DPD), Regent, Mayor, and Governor. Alhamdulillah, there is no issue that can tear the country apart. We are still solid, and the world admitted it. Indonesia becomes a country with high investment priority,” Pramono stated. (FID/OJI/ES) (RAS/EP/YM/Naster)