TEMPO.CO, Jakarta – Finance Ministry’s Directorate General of Taxes and the Bali Province administration have signed a memorandum of understanding (MoU) on the utilization of taxation data and information. The agreement was signed by Tax Director General Fuad Rahmany and Bali Governor Made Mangku Pastika.

The MoU was aimed to optimize tax revenue and regional retribution.

“The agreement between the Directorate General of Taxes and the Bali administration is aimed at optimizing each's functions,” the Directorate General of Taxes said in its press release on Friday, September 5, 2014.

Besides improving state and regional tax revenue, the cooperation is also intended to enhance tax officers’ knowledge and professionalism on tax information and data and compliance with the law.

Earlier, the government set a target to collect Rp1,370.8 trillion (US$114.3 billion) from taxes with a tax ratio against the gross domestic product at 12.3 percent. In the revised State Budget for 2014, the tax revenue target was pegged at Rp1,246.1 trillion (US$103.8 billion) with a tax ratio of 12 percent.

ANGGA SUKMA WIJAYA