Connect with us

Indonesia

Improving Indonesia’s tax collection system

One strategy of Indonesian President Joko Widodo to generate more state revenues in order to enhance investments in social and economic development of Indonesia is by improving the country’s tax collection system.

Avatar

Published

on

One strategy of Indonesian President Joko Widodo to generate more state revenues in order to enhance investments in social and economic development of Indonesia is by improving the country’s tax collection system.

As the middle class as well as number of companies that are active in Indonesia has risen rapidly in recent years, it is disappointing that tax collection targets are rarely met in Southeast Asia’s largest economy: tax compliance is low, while corruption among civil servants (tax collectors) remains a structural problem.

Indonesian President Joko Widodo

Indonesian President Joko Widodo

Indonesia’s current tax-to-GDP ratio lies in the range of 12 and 13 percent; a low figure compared to developed countries (that generally have +25 percentage point ratios) and emerging markets.

For example, Indonesia’s tax-to-GDP ratio is much lower than the ratio in Thailand (17.0 percent), Malaysia (15.5 percent), Philippines (14.4 percent), Singapore (14.2 percent), and Vietnam (13.8 percent). Such low tax-to-GDP ratios signal that governments’ financial management is inadequate (and – often the case – plagued by corruption).

via Joko Widodo’s Mission to Enhance Tax Collection in Indonesia | Indonesia Investments.

Comments

Ecommerce

Ecommerce News : Go-Jek Aims To Turn Indonesians Into E-Payment Users

Whenever you pay for a ride or service in cash, the Go-Jek driver will ask you if you want to store the change in the form of Go-Pay for future use. If you agree, the driver gets a bonus and you get discounts on your upcoming rides.

Avatar

Published

on

Wrapping up for the day? Read today’s key stories here.

1. Go-Jek is focusing on its e-payment platform, Go-Pay

It’s been available for a while, but a recent campaign successfully drove usage to a tipping point.

Whenever you pay for a ride or service in cash, the Go-Jek driver will ask you if you want to store the change in the form of Go-Pay for future use. If you agree, the driver gets a bonus and you get discounts on your upcoming rides.

Read the rest of the story here.

2. Cashless society push will speed smart city development in Malaysia

Malaysia’s Malaysian Global Innovation & Creativity Centre (MaGIC), smart city enabler Cyberview and Mastercard have signed an agreement to support the Malaysian government’s push towards a cashless society.

Read the rest of the story here

3. DHL taking part in drone tests

In addition to assessing the drones’ suitability for delivering parcels in urban areas, the project will examine if Deutsche Telekom’s mobile network can be used to connect unmanned aircraft systems (UAS) to the mobile internet.

Read the rest of the story here.

Continue Reading

Indonesia

Indonesia 2016: Foreign Investment Opportunities and Trends

Avatar

Published

on

When discussing the type of foreign clients we are looking for, we find ourselves proud to serve a wide variety of clients with diverse business operations. (more…)

Continue Reading

Business

Indonesia may replace Thailand as main automotive production hub in ASEAN by 2020

Strong evidence suggests that Indonesia will eventually replace Thailand to become the main automotive production hub in ASEAN, according to Markus Scherer, Global Automotive Sector Leader at Ipsos Business Consulting.

Avatar

Published

on

Strong evidence suggests that Indonesia will eventually replace Thailand to become the main automotive production hub in ASEAN, according to Markus Scherer, Global Automotive Sector Leader at Ipsos Business Consulting. (more…)

Continue Reading

Latest

Most Viewed

Subscribe via Email

Enter your email address to subscribe and receive notifications of new posts by email.

Join 13,609 other subscribers

Trending