TEMPO.CO, Jakarta – This year's tax revenues target could be difficult to meet, based on the fact that the actual tax revenue as of August 8 was far below target. Tax analyst Yustinus Prastowo said the government will have a hard time meeting the target since the mineral exports tap is not wide opened. In addition, a sluggish economy is weighing down the tax revenue.
"The best possible achievement is 94 percent of target. It is difficult to exceed that figure," Prastowo told Tempo yesterday.
Potential state revenue from mineral exports is also projected to stagnate, as the government is still renegotiating with several mining companies about export contracts and requirements.
"Even if it is realized, the amount would be small. Because there is no legal certainty about smelter [regulations]," he said.
Last Monday, the Finance Ministry's Tax Directorate General announced that the tax revenue per August 8, 2014 reached Rp548.07 trillion, a 9.6 percent YOY increase. The increase rate is far below the year-end growth target of 16.4 percent.
Tax revenue per August 8th only accounted for 51.1 percent of target set in the 2014 State Budget Amendment of Rp1,072.38 trillion.
JAYADI SUPRIADIN | ANGGA SUKMA WIJAYA