PALMOILMAGAZINE, JAKARTA – The government’s revenue for 2024 may fall short of its targets, primarily due to declining income taxes from numerous commodity-based companies. This shortfall is expected to lead to a significant drop in prices and increase the budget deficit beyond anticipated levels. In response, the government has been implementing digitalization across various sectors.
Luhut B. Pandjaitan, Coordinating Minister for Maritime Affairs and Investment, highlighted that integrated systems like the Mineral and Coal Information System (Simbara) have been instrumental in reducing discrepancies in mineral data, including information on coal and nickel.
“For the gap numbers got less, of course, this would minimize the losses of the country,” Luhut said, as Palmoilmagazine.com quoted from his official Instagram, Wednesday (10/7/2024).
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He also mentioned the same system should be implemented in palm oil sectors knowing that there would be much potential revenue but not maximal still. Many palm oil (plantation) companies do not have tax numbers and the government would be difficult to get income tax from them. “If the system would be implemented, the tax revenue would get escalated,” he said.
The former army thought, the deficit in the 2024 Budget would have its own challenge for the government to maintain financial stability and balance. The sluggish revenue might happen for the inefficiency in many sectors. But they started being recovered by digitalization system in the business and government.
“If every sector in the government implements digitalization, there would be efficiency, there would be less space to corrupt. But the most important thing is that the revenue would be getting increased,” Pandjaitan said.
The government hoped by the digitalization, the deficit in the Budget would be well managed and maintain the stable finance. (P2)
