Sri Mulyani's Subordinates Ensure That The Voluntary Disclosure Program Strengthens Economic Transformation

Illustration. (Photo: Doc. Antara)

JAKARTA - The Ministry of Finance (Kemenkeu) said that the implementation of the Voluntary Disclosure Program (PPS) encourages revenue optimization through tax reform while accelerating economic transformation in accordance with environmental principles.

Head of the Fiscal Policy Agency (BKF) of the Ministry of Finance, Febrio Kacaribu, said that all funds obtained from PPS for the investment segment will be channeled to green economy activities.

"The government has set the lowest tax rate policy for investment in the context of PPS that encourages economic transformation, namely the natural resource processing (SDA) and renewable energy sectors," he said as quoted on the official website today, Tuesday, March 1.

According to Febrio, PPS investment is designed to have two important functions, namely the potential for new investment sources to finance economic development and expansion of the national tax base.

He said, during the validity period of the PPS, taxpayers (WP) are given the opportunity to voluntarily disclose assets that have not been or are not reported in the tax amnesty (for policy I) or assets that have not been reported in the tax return (for policy II).

"The two policies in the PPS include policy I which is intended for taxpayers ex-participants of the tax amnesty program and Policy II for individual taxpayers who have not fully reported their net assets obtained in the 2016 to 2020 tax year," he said.

To note, this tax reform commitment is stated through the implementation of the Law on Harmonization of Tax Regulations (UU HPP). One of the provisions in the HPP Law states the existence of PPS which is valid from January 1, 2022 to June 30, 2022.

“Strong economic growth is needed in national development. Therefore, optimal fiscal management is needed to stimulate the economy and create prosperity. The government also encourages revenue optimization through tax reforms," closed Febrio.