Bank data under taxation control

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