REPUBLIKA.CO.ID, JAKARTA -- Vice President Jusuf Kalla was pessimistic tax revenue target by the end of this year would be achieved. This statement was delivered while giving a speech in the event "Indonesia Economic Outlook 2016" at Borobudur Hotel, Jakarta.
He delivered, the tax revenue target for this year was still less about Rp 430 trillion. The amount, he added, was difficult to achieve.
"Our tax revenue still lacks of Rp 430 trillion, according to the target. It is impossible in December we can achieve Rp 400 trillion," said Kalla, in Jakarta, Tuesday (1/12).
According to him, there are only two solutions to address the shortage of tax revenue. First was to reduce spending and second was to increase debt.
Read: Tax amnesty expected to contribute Rp100 trillion to tax revenues
"There is no other solution. It is not about the taxes, but the revenue," he added.
Kalla explained, if the tax revenue was still lacking, then the government could not provide a large budget for social assistance. Furthermore, the development budget became one of the sectors which can be reduced to save expenses.
Nevertheless, the development budget reduction became one of difficulties faced by the government. Therefore, Kalla asked the governments to jointly conduct expenditure savings.
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