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🇮🇩 Indonesia /Economy & Trade

Indonesia Tax Office Enlists Village, Police Aides for Compliance Support

From Republika · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • Indonesia's Directorate General of Taxation (DJP) will involve village and public order officials to assist in tax compliance monitoring.
  • These officials will only provide assistance in specific situations, such as security or transportation needs, and will not conduct tax examinations or data collection.
  • The DJP clarified that the authority for tax oversight remains solely with tax officials, and this collaboration is a continuation of existing practices.

Indonesia's Directorate General of Taxation (DJP) has clarified its collaboration with village development officers (Babinsa) and public order officials (Bhabinkamtibmas), stating their role is strictly limited to providing assistance when needed.

They are not executors of supervision or examination conducted by the Directorate General of Taxes, but provide assistance when we need it.

— Inge Diana RismawantiDirector of Counseling, Services, and Public Relations at the DJP, explaining the role of Babinsa and Bhabinkamtibmas.

Inge Diana Rismawanti, Director of Counseling, Services, and Public Relations at the DJP, emphasized that these officials are not authorized to conduct tax examinations, collect taxes, or search for tax data. Their involvement is solely for support during visits to taxpayers in locations that require special handling regarding security or transportation access.

For example, if we know a taxpayer has potential and their address is in a place that requires security or special handling in terms of transportation, we can ask for their help.

— Inge Diana RismawantiDJP Director explaining specific scenarios where assistance might be requested.

This coordination is not a new practice, according to the DJP. The involvement of these local officials has been a long-standing practice during field visits. They act as escorts or witnesses to ensure tax officials follow procedures. The DJP stressed that no new authority has been granted to these Babinsa and Bhabinkamtibmas, and all tax enforcement powers remain with the DJP.

It has been for a long time because it is for our activities to visit the field when carrying out activities at the taxpayer's location. It's just for assistance. We are not giving them new authority. The authority remains with us, but they accompany us solely for certain places.

— Inge Diana RismawantiDJP Director on the historical context and limited scope of the assistance.

The clarification comes after the DJP issued a regulation on tax compliance monitoring, which sparked public discussion. The DJP used its official Instagram account to reiterate that the village and public order officials are not tax enforcers or collectors. Their presence is purely to support coordination efforts, a practice that has been applied in various government activities for a long time.

The involvement of territorial elements is not intended as an instrument of tax law enforcement. In many conditions, territorial elements also function as escorts or witnesses that tax officials have carried out the visit in accordance with procedures.

— DJPStatement from the DJP's official Instagram account regarding the role of territorial elements.
DistantNews Editorial

Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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