VAT and Luxury Goods Tax Become Largest Contributors to Tax Revenue

The Directorate General of Taxes (DJP) at the Ministry of Finance reported that net tax revenue reached Rp 834.4 trillion by the end of May 2026. The largest contribution came from consumption taxes, specifically Value Added Tax (PPN) and Luxury Goods Sales Tax (PPnBM).

Net tax revenue grew by 22% compared to the same period last year, which recorded Rp 683.3 trillion. "As of 31 May 2026, almost all major types of tax revenue have increased," said Director General of Taxes Bimo Wijayanto during a working meeting with Commission XI of the House of Representatives in Senayan, Jakarta, on Monday, 15 June 2026.

In his presentation, corporate and individual income tax (PPh badan) and deposit income tax collected reached Rp 167.6 trillion, an increase of 23.9% year-on-year. Individual income tax (PPh 21) rose by 26% to Rp 123.1 trillion. Final income tax under articles 22 and 26 reached Rp 138.7 trillion, a 5.2% increase.

The highest growth was recorded in PPN and PPnBM, which soared by 41.3% to Rp 315.7 trillion by the end of the month. Bimo stated that this achievement was driven by internal reform efforts, including intensified revenue supervision, audits, billing, and law enforcement activities. The stabilisation of the Coretax system019s infrastructure and service quality also supported the growth.

During the meeting, Bimo also proposed a budget of Rp 5.4 trillion for the Directorate General of Taxes, comprising Rp 867.89 billion for state revenue management programmes and Rp 4.534 trillion for management support programmes.