Indonesian Political, Business & Finance News

Badung Abandons Tapping Box, Shifts to Web Service to Prevent Regional Revenue Leakage

| Source: DETIK_BALI Translated from Indonesian | Technology
Badung Abandons Tapping Box, Shifts to Web Service to Prevent Regional Revenue Leakage
Image: DETIK_BALI

The Badung Regency Government has officially shifted its taxpayer transaction monitoring system from automatic cash registers, known as tapping boxes, to a web service system that is fully integrated with third parties. This technology-based measure was taken to narrow the room for transaction data manipulation and close loopholes in locally generated revenue (PAD) leakage.

“This system is far more effective because the government’s internal system can be directly embedded and connected to the taxpayer’s transaction system. This minimises the opportunity for data manipulation,” said Badung Regent I Wayan Adi Arnawa while receiving a working visit from the Bandung Regency Government at the Badung Government Centre on Tuesday (14/7/2026).

This new technology integration will be further strengthened by a planned strategic cooperation between the Badung Regency Government and global digital platforms such as Airbnb and Traveloka. By utilising aggregate data from both platforms, the government can accurately validate real data on room bookings and tourist visits.

“If this cooperation with digital platforms proceeds, we can hold accurate data on who made bookings and at which hotels they are staying. The next day, the assessment and field verification team can simply match that data during an audit. If there are discrepancies, we can take firm action immediately,” Adi Arnawa added.

The implementation of this new system is also expected to have a positive psychological effect on taxpayers in Badung, encouraging them to be more honest and compliant in reporting their obligations. Nevertheless, Adi Arnawa cautioned that the success of this system still depends on the integrity of tax officers in the field.

“The main key to optimising regional revenue is not just the system, but also the mentality of the officers on the ground. We must be firm against any potential irregularities,” Adi Arnawa stressed before the Bandung Regency delegation led by Bandung Regent Dadang Supriatna.

The working visit and comparative study from the Bandung Regency Government was deliberately conducted to learn first-hand about policies to increase locally generated revenue and the use of web service applications by the Badung Regency Revenue Agency. The Bandung Regency delegation acknowledged that the tax potential in their region is substantial but has not been maximally tapped.

“Hopefully, through this comparative study, the Bandung Regency Government can maximise its PAD potential by implementing the web service application,” said Bandung Regent Dadang Supriatna.

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