Minister of Finance (Menkeu) Sri Mulyani denied that there is a 5 percent income tax withdrawal rule (PPh) for people who have a salary of IDR 5 million. This was confirmed by the state treasurer through the personal Instagram account @smindrawati earlier this week.

"IDR 5 million taxed at 5 percent is really wrong!" he said as quoted on Wednesday, January 4.

The statement was uploaded by the Minister of Finance together with several screenshots from a number of media containing the news.

Title news regarding Government Regulation 55/2022 regarding income tax makes netizens emotional! " he said.

Therefore, the Minister of Finance said again that for a salary of Rp. 5 million there was no change in the tax rules.

If you are single, you do not have anyone's responsibilities, the salary is IDR 5 million, the tax is paid IDR 300,000 per year or IDR 25,000 per month. This means that the tax is 0.5 percent, not 5 percent. But, if you already have a wife and one child dependents, the salary of IDR 5 million per month will not be taxed," he explained.

The Minister of Finance also explained that he agreed that rich people and officials with large producers must pay taxes with a higher value.

"I really agree. Those who are rich and officials are indeed taxed. Even for those who have a salary of more than IDR 5 billion per year, pay taxes of 35 percent (up from the previous 30 percent). That's what we think the tax can reach IDR 1.75 billion a year," he said.

Meanwhile, Small businesses with sales turnovers below IDR 500 million per year are taxed. Big companies have a tax of 22 percent. Fair isn't it? " he continued.

The Minister of Finance also took advantage of this opportunity as a means of education by providing public understanding that all fuel, electricity, and health and education subsidies came from tax money.

"We just keep Indonesia together, our own country, belongs to all of us. Take care of your emotions, don't be easily stirred up by news and stories, especially when the title deliberately creates emotions. Love our thoughts and feelings. Clean yourself from negative energy. Greetings health and happy New Year," he concluded.


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