Government urged to include non-tax revenues in budget

JAKARTA (JP): Members of the House of Representatives (DPR) Budgetary Commission yesterday criticized the government for not accounting for non-tax revenues in the state budget.

"It is time now for the government to introduce a new ruling on non-tax incomes because of their great potential to replenish the state budget," Mubha Kahar Muang, a member of the commission, said in a hearing with Minister of Finance Mar'ie Muhammad here yesterday.

She expressed her concern over the fact that there are many potential financial resources in ministries and state institutions which have not been accounted for in the state budget.

Citing an example, she said that her commission discovered that the ministry of forestry is now holding some Rp 4.2 trillion in cash for reforestation development.

"Of the total fund, only 17 percent was allocated through the state budget," said Mubha, who is also a member of the ruling party, Golkar.

Sis Hendarwati, another member of the commission, concurred that the forestry ministry fund could be used to support the state budget.

"Moreover, the fund was actually collected from forest concessionaires for supporting the ministry's reforestation scheme," she told The Jakarta Post.

"I believe that there are many similar sources of revenue at various ministries and institutions that have not been accounted for in the state budget," she said.

Deficit

Early this year, Mar'ie reported that the state budget for the 1993-1994 fiscal year suffered from a deficit reaching nearly Rp 1.8 trillion.

The state budget for the current 1994-1995 fiscal year is expected to balance at Rp 69.75 trillion. Some Rp 4.29 trillion is expected to come from non-tax revenues, notably dividends from state companies and profits from domestic fuel sales.

Aberson Marle Sihaloho, a member of the Indonesian Democratic Party, also agreed that the non-tax incomes could increase the revenues of the state budget.

"Transmigration and city police, for example, have the potential to generate additional funds for the state budget," he told the Post after yesterday's hearing.

"I don't think fees and fines collected by the police for traffic penalties, for example, have been transferred to the finance ministry," he added.

Mar'ie said his ministry shares the House members' views.

"As you know, we are now formulating special rulings on the management of non-tax revenues which have not been accounted for in the state budget," he said without elaborating.(fhp)