Remember The Plan For Basic Food And School Taxes? Values That Are Not Collected Are IDR 59.4 Trillion

Illustration (Photo: Doc. Ministry of Finance)

Minister of Finance (Menkeu) Sri Mulyani revealed that the majority of tax incentives are actually enjoyed by the public directly. The Minister of Finance gave an example that the exemption of Value Added Tax (VAT) for basic food products was not evenly collected in 2022.

"If all goods and services are the object of taxation and taxable subjects, then these basic necessities should be collected. But we (the government) are freeing this," he said when attending a working meeting with Commission XI of the DPR, Tuesday, August 30.

The Minister of Finance said that the potential for state revenues not taken reached tens of trillions.

"For the consumption of public necessities that are not collected by VAT, it reaches Rp. 38.6 trillion. We deliberately (do not collect) because that is the community's need," he said.

The Minister of Finance added that another example is reflected in the provision of similar facilities in the education sector. He said, this education sector also received incentives that were no less big.

When discussing the Law on Harmonization of Tax Regulations (HPP), friends at Commission XI also provided input that the education sector could get exemption. So, the tax expenditure (education) is IDR 20.8 trillion," he said.

For information, throughout 2022, state revenue posted IDR 2,626.42 trillion (115.90 percent of Presidential Decree 98/2022 or grew 30.58 percent year on year).

The realization of state revenue consists of the realization of tax revenues reaching Rp1,716.76 trillion (115.61 percent of the target) or a significant increase of 34.27 percent yoy, and customs and excise revenues of Rp317.78 trillion (106.27 percent of the target), an increase of 18.04 percent yoy.

Then, Non-Tax State Revenue (PNBP) has reached IDR 588.34 trillion or 122.16 percent of the target. This achievement increased 28.32 percent yoy. As well as grant receipts of IDR 3.54 trillion.