Jakarta (Antara Bali) -- President Joko "Jokowi" Widodo is optimistic that the tax revenue target of Rp1,244.7 trillion for 2015 can be achieved with the support of a better taxation system.
"We are optimistic that our target is achievable," Jokowi said here on Thursday.
He cited the example of the e-filing system, stating that it could improve tax collection.
The president added that it was normal for tax revenue to be low early in the year, but by the end of the year, it would increase significantly.
In the Revised State Budget 2015 (APBN-P), the government set a target of collecting Rp1,244.7 trillion as non-oil/gas taxes, which is some 39 percent higher than the Rp895 trillion collected last year.
With oil and gas taxes, the government has set a total tax revenue target of Rp1,489.3 trillion.
Moreover, World Bank economist Ndiame Diop had earlier said that the tax revenue target of Rp1,489.3 trillion set by the Indonesian government in the APBN-P was unlikely to be achieved.
"This year's tax revenue target is too ambitious because the prices of commodities are on the decline. Also, revenue from the oil and gas sector has also dropped, affected by the global oil price fluctuations," he was quoted as saying by Antara in Jakarta on Wednesday.
Diop further noted that Indonesia had not achieved its tax revenue targets in several years due to difficulties, as a result of a slowing economy and declines in the prices of commodities in the world. This year, the decreasing prices of oil will also affect the country's revenue targets.
"A shortfall is unavoidable. In 2015, the sharp declines in oil prices could affect non-tax state revenue targets, as well. The government must work harder," he remarked.
The analyst further explained that various efforts, including revisions of several regulations to collect potential new taxes, conducted by the Taxation Directorate General would not have the desired effect this year as their impact would only be realized in 2016. (WDY)
