JAKARTA - Minister of Finance Purbaya Yudhi Sadewa revealed that the government would strengthen state revenues through a strategy to expand the tax base without raising tariffs.
The policy is focused on increasing taxpayer compliance as well as the use of data and technology to reach potential revenue that has not been developed.
Purbaya explained that tax revenue optimization would be carried out by targeting digital economic activities, the shadow economy, and the informal sector.
However, he emphasized that the government would not implement an excessive approach to taxpayers that would disrupt their business continuity.
"(Rich people will be chased?) Not chased, but just fine. If you pay taxes, that's it. I won't chase rich people, I'll check the rich people, arrange everything until they go bankrupt, not so much. So, I won't cut the goose, I'll collect the eggs, roughly like that," he told the media, quoted Wednesday, July 15.
He said that one of the steps taken by the government was to strengthen the collection of Value Added Tax (PPN) and Income Tax (PPh) on trading transactions through online platforms that had not previously been optimally collected.
"For example, what is one of the things we are working on? Income tax, VAT from online sales, it was originally a minimum, now we ask for payment," he said.
The strategy is part of efforts to expand the tax base to achieve the target of tax revenue in the 2026 State Budget of IDR 2,357.7 trillion without raising tax rates.
Purbaya also emphasized that the concept of tax extension does not mean adding a burden for taxpayers who have obeyed because the policy is aimed at capturing parties who should have fulfilled their tax obligations, but have not paid taxes.
He added that increasing state revenues through expanding the tax base would provide greater fiscal space for the government to finance various programs for the community.
"So that means expansion. To find those who should have paid taxes but did not pay, so pay, if my money is more, then we can channel more to the community," he explained.
When asked about other sectors that could potentially be the target of expanding the tax base, Purbaya was not willing to reveal it, because the government would still conduct further discussions before establishing the policy.
"I know, I know. But later I will discuss it more deeply," he said.
With the strategy of increasing compliance and expanding the tax base, Purbaya is optimistic that the state revenue target can still be pursued, even though in the Outlook of the 2026 First Semester Report, the realization of tax revenue is projected to reach IDR 2,310.8 trillion or around 98 percent of the state budget target.
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