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JAKARTA The government's move to carry out tax reforms has begun to bear fruit. This can be seen from the increasingly aggressive target of tax revenues for the 2023 period from the previous Rp1,715.1 trillion to Rp1,718 trillion.

The projection was conveyed by the Minister of Finance (Menkeu) Sri Mulyani while attending a working meeting with the DPR's Budget Agency regarding the discussion of the 2023 State Budget Bill. According to the Minister of Finance, the increase was supported by the assumption that the value added tax (VAT) was increasingly based on the implementation of the Law on Harmonization of Tax Regulations (HPP).

"The VAT is expected to increase from IDR 1,715.1 trillion to IDR 1,718 trillion or around IDR 2.9 trillion next year," he said at the Senayan Parliament Complex, Jakarta, Wednesday, September 14.

In detail, the state treasurer explained that the positive trend of VAT was also supported by macroeconomic indicators, such as inflation estimates of 3.6 percent and 5.3 percent economic growth.

"The government will continue to implement the HPP Law in 2023 in order to increase tax revenue," he stressed.

Citing data shared by the Minister of Finance, it was recorded that the temporary posture of the 2023 State Budget was targeting state revenues of Rp. 2,463 trillion.

This figure consists of tax revenues of Rp2,021.2 trillion, where tax revenues reached Rp1,718 trillion and customs revenues of Rp303.2 trillion. Then, non-tax state revenues (PNBP) of Rp441.4 trillion.

Meanwhile, state spending became Rp3,061.2 trillion from RAPBN Rp3,041.7 trillion. This state expenditure consists of fixed central government expenditures (ministry/institution) at Rp993.2 trillion and non-K/L expenditures rose Rp16.4 trillion to Rp1,253.3 trillion.

Then, transfers to regions which also increased by Rp3 trillion to Rp814.7 trillion. For information, the increase in non-K/L expenditures is intended for energy subsidies which rose by Rp1.3 trillion to Rp212 trillion, educational budget reserves increased by Rp3.8 trillion to Rp63.5 trillion, and additional non-education expenditures to Rp11.2 trillion which will be discussed in the spending committee.


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