"The target of tax receipts has been cut because we have lowered the target of economic growth in 2012 to 6.5 percent so it has an impact on the tax receipts," finance minister Agus Martowardojo said here on Thursday.
He noted that the target of income tax receipts is lowered to Rp510.32 trillion from the state budget ceiling of Rp519.96 trillion, and the target of value added tax receipts to Rp335.24 trillion from the state budget ceiling of Rp352.95 trillion.
However, the government further revised the target of excise receipts to Rp83.2 trillion from the ceiling of Rp75.4 trillion and the target of international trade tax receipts to Rp47.95 trillion from Rp42.93 trillion, he remarked.
Under the notes of finance and the draft of the revised 2012 state budget, the decline in the target of tax receipts is closely related to the lower-than-normal calculation base as tax receipts in 2011 had fallen short of the target.
"Tax receipts fell short of the target last year because we transferred the authority to collect property tax and fees on land and building titles to regional governments," he added.
The lower-than-expected tax receipt base is also reflected by declining national revenues as a result of declining economic growth rate, he said.
In addition, the administered price policy in the energy sector this year is also expected to have an impact on the target of tax receipts, he added.
But compared to the 2011 state budget, the target of tax receipts set in the draft of the revised 2012 state budget increases by Rp138 trillion or 15.8 percent.
(SYS/KR-BSR/H-YH)
Editor: Suryanto
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