JAKARTA - Minister of Finance (Menkeu) Sri Mulyani said that her party was quite careful in setting tax revenue targets for the 2023 period. This is because the current high realization cannot be used as a standard for setting targets for next year.
According to him, the government will remain realistic in setting tax targets and other state revenue sectors while looking at the latest developments that are happening.
"We will clean up distortions so that we don't create a wrong outlook for 2023. We cannot continue to stick to this very high baseline because the contribution from commodities is very large, as well as the contribution from the economic recovery," he said during a meeting with the DPR Banggar, quoted on Monday, July 4th.
To note, in the 2022 State Budget Law, the target for tax revenue is IDR 1,265 trillion. This figure was then revised upwards by the government last May to Rp1,485 trillion with the approval of the DPR. Meanwhile, the renewal of the target is contained in Presidential Regulation (Perpres) Number 98 of 2022.
Last week, Finance Minister Sri Mulyani returned to the DPR and explained that the latest outlook regarding tax revenues could reach Rp1,608.1 trillion for this year.
"So what we will do (in setting the 2023 tax target) is to maintain and distinguish between contributions that are volatile and unpredictable in nature with those that are more predictable," he continued.
For information, the realization of tax revenue until the close of the first semester of 2022 is IDR 868.3 trillion, equivalent to 58 percent of Presidential Regulation 98/2022.
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