Tax Amnesty in Indonesia 2016
 
Guohua Wang, Professor
Huazhong University of Science and Technology, China

Nugroho Suryo Bintoro, Ph.D. Scholar
Huazhong University of Science and Technology, China

Abstract: 

The implementation of tax amnesty policy in Indonesia 2016/2017 tries to withdraw funds owned by Indonesian citizens which is undeclared especially those kept abroad. When looking at data published by various institutions it would seem that the funds owned by Indonesia citizens (primarily) stored overseas are enormous. This study tries to find out how the effectiveness of tax amnesty policy and the impact that will arise from the application of the policy utilize the method of literature study with descriptive approach. Through this research, it is known that the realization of tax amnesty in Indonesia in 2016/2017 is not fully successful considering the achievement of offshore assets declared with and without repatriation that exceeds the target (118.45 percent) and the achievement of penalty from tax amnesty which is more than 50 percent (69.09 percent). However, in terms of offshore assets repatriated, the government is only able to reach 14.70 percent of the target set and this program is not much followed by the people of Indonesia. As a follow-up to the lack of achievement of the target, the government wants to "pursue" dishonest parties in the amnesty tax program. This has a negative impact on people's perceptions of the government (level of trust).

 

 

Journal of American Academic Research 

© 2019  Copyright by Journal of American Academic Research. All rights reserved.

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