President to check tax office`s reform effort

Antara News, Monday, July 5, 2010 19:25 WIB

Jakarta (ANTARA News) - President Susilo Bambang Yudhoyono said he would soon visit the finance ministry`s taxation directorate general to check to what extent the agency had implemented its bureaucratic reform commitment.

The head of state made the statement before starting a limited cabinet meeting at his office here Monday.

"I plan to visit the tax directorate general`s office to hear personally how it is doing in meeting its reform commitment," he said.

"I want to hear about something like a contract to see to it that from now on, no more tax criminal cases will happen there," he said.

The President pointed out that tax revenues as the state`s biggest income need to remain secure so that the government`s efforts to reduce its dependency on foreign debts could be achieved.

"Please check the tax revenues. We are attempting to minimize our foreign debts and our debt ratio to the state`s income," he said.

The tax reform was one of the important components that need to be maintained to enable the government to reduce its dependence on foreign debts, he said.

The tax directorate general office has been under the spotlight since the revelation of rogue tax official Gayus Tambunan`s case.

Tambunan was accused of having suspicious Rp25 billion bank account in his name.

At least 12 middle ranking officials of the Indonesian finance ministry were allegedly involved in tax brokering cases.

In connection with Gayus Tambunan`s case, the police had arrested at least eight suspects.

In other parts of his address, President Yudhoyono also touched on the need to halt deficit in the state budget so that the state budget posture would remain healthy.

Therefore, maintaining the secure inflation rate was necessary despite the country`s sound macro-economy, he said.

President Yudhoyono also asked his cabinet members to secure the affordable prices of staple foods.

About the 13th salary of civil servants, President Yudhoyono said he wanted it to be immediately paid to enable them to meet their basic needs.