(Affluent) ones pay more taxes, while those who are (not as rich) pay less, and those who cannot afford (to pay taxes will receive) state assistance
Jakarta (ANTARA) - Finance Minister Sri Mulyani Indrawati affirmed that taxes were collected in the spirit of justice and mutual cooperation, with taxpayers being the ones able to afford it.

"(Affluent) ones pay more taxes, while those who are (not as rich) pay less, and those who cannot afford (to pay taxes will receive) state assistance," the minister noted here on Tuesday.

People in a position to pay taxes provide the nominal income above the Non-Taxable Income (PTKP), with some addition of Income Tax (PPh) rates.

Indrawati drew attention to some levels of income tax, ranging from the smallest one to the highest income tax rates, which had just been raised to the level of 35 percent for super-rich taxpayers, as stipulated in the Law on Harmonization of Tax Regulations (UU HPP).


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As for the poor, the government provides assistance from taxes for the wealthy in the form of the Family Hope Program, basic necessities, and direct cash assistance.

Currently, the national defense force and police force were also dispatched to help the government in distributing assistance to people.

"It was done during a difficult situation last year and this year. Everything is sourced from tax funds," Minister Indrawati remarked.

The minister noted that apart from functioning as source for social aid, taxes were also widely used for education, health, and law enforcement.


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Taxes were also used to provide incentives to business players. They were used to either delay some matters or cover some expenses in order to enable the business sector to rise quickly and recover from the pandemic, so that eventually, entrepreneurs were able to pay taxes as per usual.

The minister opined that the aspects she highlighted illustrate the government's commitment to supporting and building the economy through taxes.

"It is us who can (better) Indonesia. The most important aspect was to fulfill our obligations of (paying for) state revenues that are designed fairly for the economy," she concluded.

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Translator: Agatha O V, Mecca Yumna
Editor: Fardah Assegaf
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