[b]Graft and

Graft and
tax collection

From Koran Tempo

I agree with Taufiequrachman, chairman of the Corruption
Eradication Commission (KPK), who has called on the Indonesian
Ulemas Council (MUI) to issue a ruling that corruption is
forbidden according to Islam.

While it is true that such a ruling by MUI would help efforts
to eradicate corruption, it means little in law enforcement. In
fact, our legislation needs an overhaul.

Take, for example, the taxation regulations. Corruption in the
taxation sector could be reduced if the legal position of
taxpayers, now very weak, could be strengthened.

The directorate general of taxation may issue a regulation
allowing a taxpayer to bring an unreasonable, underpaid tax
notice (SKPKB) to the taxation court without first having to
lodge his objection and pay the amount in dispute. The regulation
may also stipulate that any objection or appeal will postpone tax
collection. If the suit fails, the fine the taxpayer will have to
pay will be increased threefold.

It is generally known that some tax officers have made use of
the strong position of the directorate general of taxation for
"disguised extortion". They can threaten taxpayers or issue a
SKPKB stating an unreasonably high amount. That is why many
taxpayers opt for a "win-win solution" with tax collectors.

In the case of the issuance of an unreasonable SKPKB, for
example, the tax officers concerned could be taken to the
taxation court and punished.

Unfortunately, the taxation bill drawn up by a team led by
Anggito Abimanyu still clearly takes sides with the directorate
general of taxation.

PURWOKO ARY WIBOWO

Jakarta