Headline:
Luhut Urges Unity as Coretax Faces Implementation Hurdles
Article:
In a bid to boost Indonesia’s tax revenue, the Directorate General of Taxes (DGT) at the Ministry of Finance has rolled out Coretax, a new tax system designed to enhance collection efficiency. However, the implementation has sparked criticism from taxpayers due to technical and administrative glitches.
Responding to these concerns, Coordinating Minister for Maritime Affairs and Investment, Luhut Pandjaitan, stressed the importance of Coretax as a crucial step in Indonesia’s tax reform journey. Citing a World Bank report, Luhut noted that Indonesia could potentially double its tax revenue to 6.4% of GDP, amounting to around IDR 1.5 quadrillion, if its tax system were improved.
Speaking at a press conference in Jakarta, Luhut called for unity and support in implementing Coretax, despite the challenges it faces. "Let’s not fight over this. Let’s allow the system to run, and then provide constructive criticism," he said. "This is for the sake of the Republic."
Luhut acknowledged the numerous hurdles in Coretax’s implementation but expressed optimism about the potential of digitalization to enhance efficiency and effectiveness in governance, including in the tax sector. He also revealed that the government is looking to India for guidance in its digitalization efforts.
The minister urged all Indonesians, from officials to citizens, to rally behind Coretax, emphasizing its significance not just for boosting tax revenue, but also for the nation’s overall well-being.
Reported by del/agt
