Uncovering the Benefits of Sampling Audits to Optimise Local Taxes

The success of implementing sampling audits heavily depends on consistent application and reliable data system support.

Jakarta (ANTARA) - In the dynamics of local tax management, the main challenges often faced by local governments are the limitations of accurate data and limited tax inspection resources.

This is where tax audit techniques play a crucial role. These techniques consist of a series of procedures used to obtain sufficient and relevant evidence in assessing taxpayer compliance.

Various methods can be used, ranging from linkage testing, equalisation, to interviews. However, among all these methods, sampling audits emerge as one of the most strategic approaches.

Sampling audits allow tax inspectors to draw conclusions from a small portion of data that represents the entire population. This approach is not only efficient in terms of time and cost but also provides an adequate level of confidence in the accuracy of tax reports.

The implementation of sampling audits in tax examinations is based on two main regulations: PMK No. 15 of 2025 on Tax Audits, which regulates general guidelines for the use of tax audit methods and techniques; and SE-65/PJ/2013 on Guidelines for the Use of Audit Methods and Techniques, which provides directions on the application of sampling techniques in the tax audit process. Both regulations affirm that sampling is a valid and reliable method in the tax audit process.

Conceptually, sampling audits do not aim to directly find tax corrections but rather to test the reasonableness and consistency of data in the Annual Tax Return (SPT). Therefore, this technique relies on a measured statistical approach, considering several important elements such as the testing objectives, population and sample size, sample selection method, deviation tolerance level, and the resulting conclusions.

In the context of local taxes, sampling audits can be used to compare actual data with potential data to identify untapped tax gaps. Through this method, local governments can implement two main strategies: tax intensification, which involves exploring potential from already registered tax objects; and tax extensification, which entails discovering and registering new taxpayers.

With the ability to identify tax gaps earlier and more measurably, local governments can formulate more responsive and evidence-based policies. This enables the optimisation of revenue not only in the short term but also maintains fiscal stability in the long term. When tax potential can be mapped systematically, budget planning becomes more credible, leakage risks can be minimised, and regional fiscal capacity strengthens.

Strategy for Optimisation

In the context of local taxes, sampling audits have a much broader strategic value. This method can be used to compare data reported by taxpayers with potential data that should be obtained based on prevailing economic conditions or regulations.

From this comparison, local governments can identify tax gaps, which is the difference between the potential tax that should be received and the actual revenue entering the regional coffers.

Through this identification, local governments can formulate two main strategies: intensification and extensification of taxes. Intensification is carried out by optimising revenue from already registered taxpayers, for example through follow-up audits or increased supervision. Meanwhile, extensification is achieved by expanding the tax base through the addition of new taxpayers who were previously unregistered.

The benefits of this approach are highly significant. First, sampling audits can uncover untapped tax potential, either due to taxpayer non-compliance or administrative system weaknesses. Second, this technique helps improve the effectiveness of tax collection by focusing resources on sectors or tax objects with high potential.

Third, this optimisation directly contributes to increasing Regional Own-Source Revenue (PAD), which forms the backbone of regional development financing. Fourth, the results of sampling audits can serve as a strong basis for more targeted tax policy decisions in the future.

Policy Practice

The success of sampling audits is inseparable from its systematic implementation stages. The process begins with determining representative samples, followed by data collection from various sources, both internal and external. Next, an analysis comparing actual and potential data is conducted to identify gaps.

From these results, local governments can take concrete follow-up actions, such as in-depth audits, registration of new taxpayers, and improvement of the tax administration system.

Field practices show that this approach is more than just a theoretical concept. One real example is the implementation of sampling audits by the Luwu Regency Revenue Agency in South Sulawesi. In a relatively short period, they were able to identify various tax potentials from the mining sector and the food and beverage sector.

The results not only increased regional revenue but also strengthened transparency and accountability in the tax system.

In the long term, sampling audits have broader impacts beyond mere revenue increases. This technique encourages the creation of a more modern, data-based, and adaptive local tax system to economic changes. Local governments no longer rely solely on taxpayer reporting but also have analytical tools capable of validating and testing the accuracy of that data.

International experiences further support