By: Rega Feriansyah *)
Jakarta, CIDISS – As changes in macro-economic assumptions, in particular oil prices are getting lower. State Budget (APBN) in 2016 were worth USD 2095.7 billion had to be revised. It is estimated that state spending must be cut to Rp 290 trillion, so that the budget deficit does not widen too far from predefined. In this case, the solution offered by the government is the enforcement of remission of tax policy or tax amnesty, which would be able to increase income taxes. Estimates while, Rp 100 trillion will go to the state revenue. Future imposition of tax amnesty period are also planned over a period of one year. This means that when initiated in June 2016, it will expire in July 2017. So the impact to state revenue will go into the state budget two periods.
Bill (the Bill) on Tax Amnesty government proposals through Presidential Letter (Supres) Related Tax Amnesty Bill has now received by the General Secretariat of the House of Representatives and will soon be discussed by the DPR. Through this policy, the government is expected to attract the funds of the citizens of Indonesia who have been kept abroad (repatriation). Based on data from Tax Justice Network (2010), there were US $ 331 billion or equivalent to Rp 4,500 trillion in assets Indonesian people stationed in various countries of asylum tax (tax haven), such as Singapore and others. Global Financial Integrity (2013) puts Indonesia as the country ranked 7th that has a steady flow of illicit funds abroad with the flow of funds of Rp 200 trillion a year.
But history records that in 1960, Indonesia had tried to apply tax forgiveness policy but in reality many abused by pengemplang taxes. It makes pessimists worried about tax amnesty bill will not run as expected. This law has the potential to be a facility “red carpet” for the conglomerate, perpetrators of economic crime, and the perpetrators of money laundering. This is emphasized, because the draft did not mention the origin of the fortune. Thereby potentially attract a lot of dirty money in the budget and pereknomian Indonesia. This policy also assessed could lead to moral hazard borne abiding taxpayers
Entry tax amnesty has become an absolute necessity and can not be reversed (no point of return). Because the tax amnesty in the short term could boost tax revenue in 2016, thus ensuring the adequacy of state funds in order to realize various welfare and development programs of the government. Tax amnesty that accompanied the repatriation of funds believed to be able to raise the national economy and create new investment, the creation of new jobs, and financing various programs. Tax amnesty also resulted in increased taxpayer and the tax base significantly, because there will be new data taxpayer entering into the formal economic system. Nevertheless, tax forgiveness should still be designed carefully. Expanding access to banking data, integration NIK (national identification number) and TIN (taxpayer identification number), improved coordination and integration of administrative systems, as well as the consistency of law enforcement is the domain that must be seriously worked on, so pengampan
Therefore, postponement of remission of taxes can threaten the acceleration of national development, because tax revenue can not be increased. This will potentially reduce the credibility of the government, the trust of taxpayers, and there is a negative assessment of tax haven countries threatened sucked liquidity when Indonesia imposed a tax amnesty. Finally, although the government expects tax amnesty program can be run in 2016, we need to realize that the realization of the tax amnesty is still in a long process. However, the support of all interested parties and a clear legal framework will facilitate the process. Thus, the tax amnesty become an important breakthrough for the development of national economy in the era of leadership Jokowi-JK. [RF]
*) CIDISS Contributor