The Galimax System Will Launch By The End Of 2024, It Is Estimated That It Will Add A Tax Ratio Of 1.5 Percent

SERANG - The Directorate General of Taxes (DGT) of the Ministry of Finance (Kemenkeu) revealed that the advanced tax system, the Core Tax Administration System (CTAS), will launch at the end of this year.

Head of the Sub-Directorate for Tax Receipt Management of the Ministry of Finance, Muchamad Arifin, conveyed that the decision was the result of the negotiations of Finance Minister Sri Mulyani Indrawati with the president. So it is hoped that by 2025 the system will run.

"The report on Mrs. SMI's meeting with the president, around December 2024. So it is hoped that by early 2025 it will roll out," he said in the media gathering of the Ministry of Finance 2024, Thursday, September 26.

However, Arifin emphasized that there is no official date regarding when the launch or soft launching core tax will be carried out or announced.

Arifin said that the implementation of the core tax will be one of the policies that have an impact on state revenues where based on the results of the World Bank or World Bank study, after the implementation of the new system for 5 years is implemented, it will be able to increase revenue from GDP by 1.5 percent.

"It is impossible, for example, after being implemented now, for example next year it could add 1.5 percent of GDP. It will increase by about 5 years. But that's a study from the World Bank, so it's not necessarily the same for us if implemented," he said.

To note, Indonesia's tax ratio in 2022 is 10.39 percent, in 2023 it is 10.2 percent. For 2024, the government is targeting a tax ratio of 10.2 percent. Therefore, with the implementation of core tax, it will be able to increase the tax ratio by 1.5 percent, bringing it to 11.7 percent or towards 12 percent.

However, Arifiin said that it is possible that there will be a significant additional tax ratio if the data of taxpayers (WP) has entered the system. Where, currently the government is implementing a Population Identification Number (NIK) as a Taxpayer Identification Number (NPWP).

"It all depends on the readiness of the data later. If for example the core tax has been running, then the data we expect from agencies and institutions will all enter, I think it will definitely increase the tax ratio significantly," he explained.