Bank data under taxation control

At a meeting between Director General of Taxation Hadi Poernomo and members of the Association of Retired Tax Officials (P-5) on July 8, the director general disclosed that his agency could control all bank data, such as current accounts, reports on personal/corporate assets of bank customers and other information. It seems that the minister of finance has lifted the regulations on bank secrecy for the directorate general of taxation. This is a very good move for taxation, according to actual conditions, and it was properly announced so that the major companies concerned are informed of it.

The Office of Major Taxpayers Service has also been set up, located in the former Humpuss building on Jl Medan Merdeka Timur, with 200 taxpayers registered. These taxpayers will perhaps be prioritized for tax corrections, which is commendable.

Is there any other way to evade taxes? There might not be in 2001 or earlier. But as of 2002, major taxpayers could open or transfer their accounts to foreign banks in Singapore. Money is collected in cash by using a courier service, or a cooperation could be arranged with the banks' branches in Jakarta so that the money is not deposited into accounts, but is separately recorded and goes unreported.

It has therefore become more difficult and costlier to operate businesses in Indonesia. Will this cause a lot more foreign investors to leave Indonesia? If that happens, Indonesia's economy will be even more in a mess. Which is more important?

Meanwhile, the administration of computer data at the major taxpayers office should be maintained and controlled so that data will not be leaked. Otherwise, financial data could be altered or omitted by unscrupulous people or outsiders, and the consequences would be disastrous.

SUHARSONO HADIKUSUMO, Jakarta