2027 Tax Target Rises to IDR2,593 Trillion, Deficit Remains 2.4%
JAKARTA, DDTCNews - The House of Representatives' Budget Committee (Badan Anggaran/Banggar in Indonesian) has agreed on a tax revenue target in the 2027 State Budget Draft Law of IDR2,593.35 trillion. This topic is among the subjects reviewed by the national media today, Wednesday (30/9/2026).
Under the 2027 state budget, the tax revenue target has been agreed at IDR2,593.35 trillion, up IDR2 trillion compared with the initial proposal submitted by the government in the financial note of the 2027 draft state budget, which stood at IDR2,591.35 trillion.
Meanwhile, customs and excise revenue has been targeted at IDR318.6 trillion, up IDR2 trillion from the government's proposal in the financial note of the 2027 draft state budget. The non-tax state revenue (penerimaan negara bukan pajak/PNBP in Indonesian) target has also been agreed to rise from the initial proposal of IDR517.41 trillion to IDR522.48 trillion.
As a result, the total state revenue target for 2027, as agreed, has risen from the initial proposal of IDR3,426.03 trillion to IDR3,435.1 trillion.
Regarding expenditure, the central government expenditure target has been agreed to rise from the initial proposal of IDR3,362.19 trillion to IDR3,371.26 trillion, whilst transfers to regions have been proposed to remain at IDR735 trillion.
Consequently, the total state expenditure for 2027 has been agreed to rise from the initial proposal of IDR4,097.19 trillion to IDR4,106.26 trillion.
With the above targets, the budget deficit has been agreed at IDR671.16 trillion, or 2.4% of GDP, remaining equivalent to the initial proposal submitted by the government in the financial note of the 2027 draft state budget.
"There are increases in both state revenue and expenditure, yet these do not alter the 2027 deficit target. We have maintained the deficit target at 2.4% of GDP to ensure the maximum capacity of the 2027 draft state budget in carrying out its budgetary functions whilst continuing to uphold the prudential principle," Said stated.
In addition to the above topic, there is commentary on a judicial review concerning taxpayer attorneys that was rejected by the Constitutional Court. There is also discussion of tax refunds, registration of GloBE taxpayer status, the SPP-TDLN and other matters.
The following is a full review of the tax-related articles.
Rise in Tax Target Will Not Burden the Economy
The increase in the tax revenue target under the 2027 state budget is claimed not to burden the public's economy. The House of Representatives' Budget Committee and the government have agreed to base the increase on improvements to governance and law enforcement.
"The responsibility for raising the state revenue target, particularly in taxation, is placed more on improvements to governance, law enforcement, the use of technology and natural growth driven by high economic growth," said Banggar Chairperson Said Abdullah.
Said also affirmed that the broadening of the tax base must be carried out cautiously so as not to burden the public's economy. (DDTCNews/Bisnis Indonesia/Kontan)
Suahasil on 2027 State Budget Law Granting Tax Refund Audit Powers
Minister of Finance, Suahasil Nazara, affirmed that tax refund management to be carried out by the government through the Directorate General of Taxes (DGT) will be conducted pursuant to the applicable regulations.
He also assured that refund management will be implemented without prejudicing the rights of taxpayers who have made a tax overpayment. The management is intended to ensure compliance by taxpayers submitting refund claims.
"The government respects all the rights of taxpayers submitting refund claims. At the same time, however, we also wish to ensure compliance regarding invoices, transactions and relationships between taxpayers that must be established to obtain a tax refund," said Suahasil. (DDTCNews/Kontan/Bisnis Indonesia)
No Legal Standing, MK Rejects Judicial Review of Tax Attorneys
The Constitutional Court (Mahkamah Konstitusi/MK in Indonesian) has declared that Mahamuddin, as the applicant, does not have legal standing to submit a judicial review of the minister of finance's authority to regulate attorney competency under the norm of Article 44E paragraph (2) subparagraph e of the General Provisions and Tax Procedures Law (GPTP Law), as last amended by the HPP Law.
Constitutional Court Chief Justice, Suhartoyo, in pronouncing Constitutional Court Decision Number 328/PUU-XXIV/2026, stated that the applicant had been unable to demonstrate any loss of constitutional rights that would be suffered in connection with the entry into force of Article 44E paragraph (2) subparagraph e of the GPTP Law, as last amended by the HPP Law.
"The applicant was unable to set out clearly and adequately the alleged loss of constitutional rights arising from the entry into force of Article 44E paragraph (2) subparagraph e," said Suhartoyo. (DDTCNews)
GloBE Taxpayers Must Register via Coretax by Tomorrow
Corporate taxpayers that are members of a GloBE-covered multinational enterprise (MNE) group have until the end of this month to register as GloBE taxpayers.
Where the first GloBE charge year of an MNE group is 2025, constituent entities of that group are required to add their status as GloBE taxpayers by the end of this month.
"The application for status addition as a GloBE taxpayer referred to in paragraph (1) shall be submitted no later than 9 months after the end of the first year of the Imposition of GloBE at the time the MNE group fulfils the provisions referred to in Article 3," reads Article 4 paragraph (2) of the Director General of Taxes Regulation No. PER-6/PJ/2026. (DDTCNews)
Former Tax Consultant Certificates Recognised as SKK for Up to 2 Years
Tax consultant certificates previously issued under earlier regulations remain recognised as certificates of competence (surat keterangan kompetensi/SKK in Indonesian) for a specified period. This provision is set out in the transitional provisions of Minister of Finance Regulation (MoF Reg.) 55/2026.
Pursuant to Article 60 letter f of MoF Reg. 55/2026, former tax consultant certificates are declared to remain valid as certificates of competence for a maximum of 2 years from the date of issuance.
"Tax Consultant Certificates that have been issued pursuant to the ... [MoF Reg. 111/PMK.03/2014, as amended by MoF Reg. 175/PMK.01/2022] shall be declared to remain valid as Certificates of Competence for a maximum period of 2 years from the time of issuance of the tax consultant certificates," reads an excerpt from Article 60 letter f of MoF Reg. 55/2026. (DDTCNews)
DGT Targets Thousands of Foreign Platforms for Digital VAT
The DGT is targeting thousands of foreign platforms that supply goods and digital services to Indonesian consumers through the implementation of the tax collection system for cross-border digital transactions (sistem pemungutan pajak atas transaksi digital luar negeri/SPP-TDLN in Indonesian).
Director General of Taxes, Bimo Wijayanto, explained that the SPP-TDLN targets transactions in goods and services provided by overseas platforms to consumers in Indonesia, particularly transactions on which VAT has not yet been collected through the electronic commerce (e-commerce) VAT mechanism.
"Beyond that — beyond what has already been subject to e-commerce VAT collection — there are some, in fact, many, a great many overseas platforms that supply goods and services purchased by consumers from Indonesia," explained Bimo. (Kontan/Bisnis Indonesia)