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Indonesia: Taxpayers’ Finance Information Accessible Since May 31
TEMPO.CO, Jakarta – Finance Minister Sri Mulyani Indrawati signed a Minister’s Decree on the government’s access to taxpayers’ financial records as an implementation of Government Regulation No 1/2017 on the access to financial data for taxation purposes.
Sri Mulyani explained that the regulation is an implementation of a policy on automatic exchange of information (AEoI) for tax purposes introduced by the Organization for Economic Co-operation and Development (OECD).
Starting from 2018, the Indonesian Government will be able to obtain information of Indonesian taxpayers’ assets parked overseas and have not been declared during the tax amnesty program.
“In order to implement the AEoI on September 2018, Indonesia must be able to complete the primary and secondary legislation by the end of June,” Sri Mulyani said on Monday, June 5.
This Minister’s Decree will further regulate the procedures of financial information reporting, account identification, the financial agency’s documentation obligations, sanctions for incompliant financial agencies, secrecy of financial information received by the Directorate General of Taxation, and sanction for tax officials who disclose the secrecy.
The decree has already taken effect since May 31, 2017. Sri Mulyani will also attend the OECD Ministerial Council Meeting in Paris in order to ratify the multinational instrument (MLI) to implement tax treaty related measure to prevent Base Erosion and Profit Shifting (BEPS) on June 7.
The implementation of anti-BEPS and AEol, according to Sri Mulyani, shows Indonesia’s commitment to fighting against tax evasion often practiced by multinational enterprises and the conglomerates.
Source: https://en.tempo.co/read/news/2017/06/05/056881730,uk.html/Taxpayers-Finance-Information-Accessible-Since-May-31