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Home Economic

Sri Mulyani Claims Indonesia’s Core Tax System is the Largest in the World

by Becky
2024-08-21
in Economic
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Core Tax

(YouTube/Kemenkeu RI)

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Jakarta, IndonesiaSentinel — Finance Minister, Sri Mulyani Indrawati, provided an update on the development of the Core Tax Administration System (CTAS), emphasizing its significance as one of the largest Core Tax projects globally.

Speaking during a meeting with the House of Representatives’ Commission XI on Wednesday, August 21, 2024, Sri Mulyani highlighted the scale of the project, noting that other countries like New Zealand or Canada have implemented similar systems, but on a much smaller scale compared to Indonesia.

Sri Mulyani stated that the CTAS is expected to be operational by the end of this year or early next year. However, she acknowledged that the Ministry of Finance has encountered numerous challenges during the testing phase of the system.

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“We hope to launch the system by the end of this year or at the latest, early next year, at which point it will go live,” she explained. “Even though the project will be completed, implementation support will continue.”

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Responding to concerns from Deputy Chairman of Commission XI, Dolfie O.F.P, regarding the perceived slow progress of CTAS, Sri Mulyani attributed the delays to the complexity of the project, exacerbated by the COVID-19 pandemic.

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“To be honest, this is an exceptionally large and complex system build,” she said. “It’s not surprising that there have been some delays.”

Sri Mulyani also pointed out the challenges of data migration, noting the need to transfer data for 78 million taxpayers, with millions of daily transactions, without disrupting the tax system or losing historical data.

“We’re ensuring that the data migration continues smoothly, making sure no old data is lost,” she added. “It’s also important to consider the shift in mindset for 40,000 Directorate General of Taxes (DJP) employees, as they will be working based on the new system.”

(Agung)

Tags: core taxCTASFinance MinisterMinisterSri MulyaniTax
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