Millions of Indonesia Companies Pay No Taxes
Around 90 percent of tax revenue comes from 100 thousand top companies in Indonesia.
VIVAnews – Ministry of Finance's Directorate General of Taxes, Fuad Rahmany, said corporate taxpayers still pay small contribution to tax income. Currently, only around 500 thousand companies have been registered in the Directorate General of Taxes, but 10-12 million companies have yet to pay any tax.
Fuad said out of 500 thousand registered companies, the Tax Department has just received Rp450 trillion. Around 90 percent of tax revenue comes from 100 thousand top companies in Indonesia. “It means that there are only 100 thousand top companies available in Indonesia. Is it true that such a huge country as Indonesia only has 100 thousand companies?” said Fuad Rahmany in Jakarta on Tuesday.
Fuad said many corporate and individual taxpayers have not paid their taxes yet. In 2011, tax revenue was only Rp742 trillion, coming from 500 thousand corporate taxpayers and 9 million individual taxpayers.
Fuad revealed that based on a data compiled by the Central Bureau of Statistics, 10-12 companies did not pay taxes. 30 million individuals have paid their taxes but have not filed in their Tax Report yet.
“There are millions of business entities and individuals who haven’t paid their taxes yet. There are 10-12 million companies that haven’t paid their taxes. It is our responsibility to inform them that Indonesia can’t live only with 100 thousand companies,” he explained.
Fuad expected there will be 5-6 million corporate taxpayers in the next 3 years. Therefore the Directorate General of Taxes is conducting another National Tax Census (SPN) in 2012 which centers on business centrals, high rise buildings, real estate and other potential objects.
The tax census program is a proactive extension program prepared by the Directorate General of Taxes to instruct and encourage the public that paying taxes is necessary to save the country.
He said the census conducted in 2011 was quite successful. In 2011, the National Tax Census managed to record 646 thousand taxpayers or 71.8% of the targeted amount of 900 thousand taxpayers.
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