Palace: Payment ID Technology Mumpuni Detection Of Hidden Economic Transactions

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JAKARTA - Minister of State Secretary Prasetyo Hadi stated that the technology used in the Payment ID system is very qualified to detect and analyze economic activity.

"(The technology) is very capable. So we are able to detect, analyze. With the current technology, it is difficult to hide. These are all transactions, economic activities will be difficult if they are hidden by certain parties," said Prasetyo at the Merdeka Palace, Jakarta, Wednesday, August 13.

Prasetyo gave an example, this technology allows the calculation of tax obligations based on production data and the purchase of materials made by business actors.

For example, from raw material expenditure data, the system can estimate the production value and potential income which then becomes the basis for determining tax obligations.

"From material spending alone, we can calculate how many, for example, an economic activity is running, and this results in how much there is an obligation to the state, for example in the form of taxes that have been regulated, how much," said Prasetyo.

"Very capable, the technology is very capable. It is difficult to store things that are not incurable, they can definitely be detected," he added.

Prasetyo also emphasized that data on Payment ID should not be misused.

"It's not permissible (to be misused), there is personal data protection, let alone financial in nature, it's not allowed," he said.

The Minister of State Secretary emphasized that open reporting information, such as the amount of production results, must still be accessed transparently.

"But what is open in nature is the result of how much production, for example, it's something that must be open, it can't be hidden later," said Prasetyo.

Payment ID is a unique identifier of nine characters resulting from population data based on Population Identification Number (NIK). This identity is designed to consolidate individual financial information, ranging from banking accounts to digital wallet accounts (e-wallet).

Through Payment ID, financial institutions can find out more accurately the customer profile. However, this can only be done with the active (consent) consent of the customer as the data owner.