State Audit Agency Highlights Tax Oversight Issues, State Revenue Potential Not Optimal

JAKARTA, KOMPAS.com - The State Audit Agency (Badan Pemeriksa Keuangan, BPK) has highlighted several issues in tax supervision and examination that are affecting efforts to optimise state revenue. These findings are outlined in the Semester II Audit Results Summary (Ikhtisar Hasil Pemeriksaan Semester, IHPS) for 2025, particularly the performance audit on supervision and examination to support tax revenue optimisation from 2023 to 2025 at the Directorate General of Taxes (Direktorat Jenderal Pajak, DJP). In the report, BPK notes that DJP has undertaken various risk-based supervision measures, including issuing 162,658 Requests for Explanation on Data and/or Information (Surat Permintaan Penjelasan atas Data dan/atau Keterangan, SP2DK) and 311,736 Examination Assignment Letters (Surat Penugasan Pemeriksaan, SP2) over the past three years. However, BPK concludes that problems persist in the planning, implementation, and monitoring stages of tax supervision, potentially reducing the effectiveness of state revenue. “The audit results conclude that issues remain in the planning, implementation, as well as monitoring and evaluation of tax supervision and examination, which, if not addressed promptly, will affect effectiveness in supporting tax revenue optimisation,” states the report, quoted on Friday (24/4/2026). One key focus of BPK is the planning of supervision and examination, deemed not fully based on priority sectors and taxpayer non-compliance risks. According to BPK, the existing planning does not fully consider priority business sectors, compliance risk maps, taxpayers’ payment capacity, or analyses of transactions with significant potential to increase state revenue. This situation is seen to result in priority lists for supervision and examination that do not fully reflect optimal state revenue potential. Additionally, BPK highlights the implementation of taxpayer compliance supervision, which lacks sufficient controls. One finding is that supervision implementation has not ensured the fulfilment of taxpayer payment commitments worth Rp14.92 trillion. This amount is considered at risk of becoming unrealised state revenue potential. Furthermore, BPK found that some supervision and examination procedures are not running adequately. For example, supervision in the nickel mineral sector is deemed not to have used sufficient risk testing to assess tax compliance potential. Moreover, examinations of four taxpayers are said not to be fully supported by adequate testing procedures, including those related to depreciation, sales price determination, and utilisation of loss compensation. According to BPK, these conditions risk rendering tax supervision and examination results less effective in promoting taxpayer compliance and supporting state revenue. BPK recommends to the Minister of Finance, among others, to instruct the Director General of Taxes to prepare studies on planning the development of CRM for the Supervision Function and CRM for the Examination Function by adding Priority KBLI variables. “And to conduct a comprehensive analysis of all tax potentials from share transfer transactions, including share transfer transactions involving related taxpayers in 2024, for taxpayer compliance supervision in accordance with applicable laws and regulations,” it explains.