Lawmaker Reacts to Separation in Tax Office. Plans by the government to separate the regulating and administrative functions of the corrupt Tax Directorate General under the Finance Depatrment met with criticism by a lawmaker from the Banking and Finance Commission.
Andi Rahmat (Prosperous Justice Party) said yesterday (14/9) the plan is against the regulation which stipulates that tax office operates under one directorate general.
The statement came after Finance Minister Agus Martowardojo revealed last week that the government will take the measure in a bid to improve service quality and independence of the tax office.
Andi said the plan will face tough challenge from the house because it will take extra effort to reverse the law.
The Fiscal Policy Body of the Finance Department, Agus Supriyanto also said yesterday that it is ready to assume some of the functions of the taxation and the customs directorate into its supervision to “preserve check and balance” in the directorates.
The former customs and Excise Director General said the measure will prevent conflict of interests between tax regulation makers and tax administrators, which had been adopted by several countries.
The current Director General of Taxation Mochammad Tjiptardjo said his office will be left with the administrative authority while the other half to be supervised by the Fiscal Policy Body will responsible for regulation.
Last week Agus Martowardojo also said the tax office will have two new desks to perform some of the functions that were actually held by the cracked down section in the tax scam investigation, the Dispute and Appeal Unit, in which the prime tax scam suspect Gayus Tambunan used to work.
The two desks are the quality assurance unit to be assigned to work on discrepancies in claims and reports of tax payment, which Agus said will have a more independent position. And the examination unit that will look deeper into tax disputes and make decisions on them.
The tax scam involves local as well as multinational firms like Surya Alam Tunggal, Excelcomindo, Dowell Anadrill Schlumberger, Indocement, and three Bakrie & Brother's units; Bumi Resources, Kaltim Prima Coal, and Arutmin which sparked the rifts between the ousted Finance Minister Sri Mulyani and tycoon Aburizal Bakrie.
Andi Rahmat (Prosperous Justice Party) said yesterday (14/9) the plan is against the regulation which stipulates that tax office operates under one directorate general.
The statement came after Finance Minister Agus Martowardojo revealed last week that the government will take the measure in a bid to improve service quality and independence of the tax office.
Andi said the plan will face tough challenge from the house because it will take extra effort to reverse the law.
The Fiscal Policy Body of the Finance Department, Agus Supriyanto also said yesterday that it is ready to assume some of the functions of the taxation and the customs directorate into its supervision to “preserve check and balance” in the directorates.
The former customs and Excise Director General said the measure will prevent conflict of interests between tax regulation makers and tax administrators, which had been adopted by several countries.
The current Director General of Taxation Mochammad Tjiptardjo said his office will be left with the administrative authority while the other half to be supervised by the Fiscal Policy Body will responsible for regulation.
Last week Agus Martowardojo also said the tax office will have two new desks to perform some of the functions that were actually held by the cracked down section in the tax scam investigation, the Dispute and Appeal Unit, in which the prime tax scam suspect Gayus Tambunan used to work.
The two desks are the quality assurance unit to be assigned to work on discrepancies in claims and reports of tax payment, which Agus said will have a more independent position. And the examination unit that will look deeper into tax disputes and make decisions on them.
The tax scam involves local as well as multinational firms like Surya Alam Tunggal, Excelcomindo, Dowell Anadrill Schlumberger, Indocement, and three Bakrie & Brother's units; Bumi Resources, Kaltim Prima Coal, and Arutmin which sparked the rifts between the ousted Finance Minister Sri Mulyani and tycoon Aburizal Bakrie.
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