Kedutaan Besar Republik Indonesia
Embassy of the Republic of Indonesia
Ambassade de la RÉpublique d'Indonésie

Indonesia introduces tax data integration system to boost transparency

Finance Ministrya��s Directorate General of Taxation introduced on Wednesday a tax data integration system that aims to improve taxpayer data transparency, with state-owned energy company Pertamina becoming the first participant of the system.

Minister Sri Mulyani Indrawati said in Jakarta on Wednesday that with the system, all transactions would be quickly recorded and carried out more accurately.

a�?If it is carried out manually, the probability of making errors is also high,a�? said Sri Mulyani while inaugurating the system with State-owned Enterprises (SOE) Minister Rini Soemarno as reported byA�

By joining the system, Pertaminaa��s data, including purchases, sales and employeesa�� salaries could be monitored by the directorate general and the company could also automatically pay taxes and file reports.

Sri Mulyani added that the system was expected to reduce disputes between the tax office and taxpayers.

Meanwhile, Minister Rini said that while Pertamina was the first participant of the system, she would ask the other 30 SOEs to join the system, although Sri Mulyani only demanded that six other SOEs join.

Rini welcomed the introduction of the system because it would help SOEs conduct tax audits. a�?The system is also important for us because we can determine companiesa�� income and profit earlier and help them pay taxes more accurately and efficiently,a�? he added. (bbn)