Government Targets Tax Ratio of up to 12.45% by 2030
JAKARTA, DDTCNews — The government is seeking to keep tax buoyancy above 1 to raise the tax ratio gradually.
According to the government, a tax buoyancy above 1 is an indication of the effectiveness of the tax system in collecting tax revenues from economic growth.
"Tax revenues are sought to have an elasticity (tax buoyancy) above 1 as an indicator of the increasing effectiveness of the tax system in capturing economic growth as state revenues," the government stated in the financial note of the draft state budget (rancangan anggaran penerimaan dan belanja negara/RAPBN in Indonesian) 2027, as cited on Thursday (20/8/2026).
With tax buoyancy above 1, the tax ratio is expected to rise gradually and reach between 10.97% and 12.45% of GDP by 2030.
To maintain tax buoyancy above 1 and achieve the intended tax ratio, the government has committed to continuing comprehensive tax reform with the aim of establishing a tax system that is more equitable, efficient, integrity-driven and legally certain.
The reform will be implemented through the improvement of tax policy that is adaptive to developments in business models and international tax practices.
The modernisation of tax administration is also being continuously strengthened through the implementation of the coretax administration system. This system is expected to integrate tax business processes, improve service quality, strengthen data validity and enhance the effectiveness of oversight.
The government will also strengthen public trust through improvements in service quality, simplification of administrative procedures, strengthening of communication and education, improvement of complaint handling and enhancement of the professionalism of tax officers.
The quality of human resources will be strengthened by focusing on improving technical competence, data analysis capabilities, oversight capacity and digital technology proficiency among tax authority personnel.
In addition, the transformation of data and information systems is being continuously strengthened through the expansion of access to tax data, improvement of data governance quality, integration of data across ministries and institutions and the development of artificial intelligence. (dik)
