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Tax Policy Should Go Beyond Revenue Collection

Tax Policy Should Go
Beyond Revenue Collection

Tax News

23 Sep 2026, 04.13 WIB

Ministry of Finance Suahasil Nazara has called on officials at the Directorate General of Taxes (DGT) to understand developments in the national economy and changes in taxpayer behavior in carrying out their duties. Suahasil said such an understanding was necessary to ensure tax policy goes beyond meeting revenue targets and contributes to building a credible and sustainable tax system.

 

“Revenue targets are very important, but we also need to build a tax system that is credible, fair, and capable of sustainably supporting state finances,” Suahasil said after inaugurating senior officials at the Directorate General of Taxes (DGT) and the Secretariat of the Financial System Stability Committee (KSSK) in Jakarta on Monday (Sept. 21, 2026).

 

Addressing officials at the Directorate General of Customs and Excise (DGCE), Suahasil called for stronger oversight of economic activities to prevent illegal activities. He said oversight should adopt a risk-based approach by identifying activity patterns from the outset. This would allow the DGCE to take preventive measures rather than act only after violations occur.

 

“I want the Directorate General of Customs and Excise to strengthen its oversight, make it more risk-based, and be able to identify patterns rather than simply taking action after violations occur,” he said.

 

Suahasil said oversight should begin with an understanding of the economic activities being monitored. He said this approach could help curb potential illegal activities before they develop into violations.

 

“It should start from the outset, by paying attention to the underlying economic activities, so that we can ultimately reduce unnecessary illegal activities,” he explained.

 

At the same time, Suahasil reminded the DGCE that its role extends beyond oversight. The institution also contributes to state revenue, including through export activities.

 

Meanwhile, Suahasil called on officials at the Directorate General of Treasury (DGTreasury) to ensure that state budget management continues to support economic activity. Budget management, he said, should be directed toward fulfilling its fiscal function while also supporting economic activity.

 

For the KSSK Secretariat, Suahasil emphasized the importance of strengthening coordination among the Ministry of Finance, Bank Indonesia (BI), the Financial Services Authority (OJK), and the Indonesia Deposit Insurance Corporation (LPS). He said the role of the KSSK Secretariat was becoming increasingly important as Danantara becomes involved in a number of discussions concerning the management of the national economy.

 

“Coordination must take place from the outset. The Secretariat should not merely organize meetings, but truly serve as a driver of coordination,” Suahasil said.

 

He said KSSK coordination should not take place only during meetings. The process needs to be carried out continuously to monitor economic conditions, identify risks, and ensure that information is effectively shared among institutions.

 

“This means it must be carried out continuously, from monitoring economic conditions and identifying risks to connecting information across institutions, preparing early warnings, and ensuring that every meeting results in follow-up actions and monitoring,” he explained.

 

Also Read:

Tax Refunds Are a Right, Not a Fiscal Favor
What Is Tax in Indonesia?
Breaking Down the Article 21 Withholding Tax Provisions

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