Government Prepares New Tax IT System

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The government, through the Directorate General of Taxes (DGT) of the Ministry of Finance, is preparing a major project related to tax reform. This reform will touch on the super-sophisticated aspects of the tax information technology (IT) system.

This project is an update of the core tax administration system (SIAP) or what is often known as the core tax system.

Expert Staff for Tax Regulation and Law Enforcement Iwan Djuniardi said that the core tax reform was a tax reform that was motivated by technological disruptions related to business processes.

According to him, so far, the business processes within the DGT have not been able to keep up with developments in a world that is all sophisticated and easy.

“Many people are digital (now), during the DGT period it was still manual. So that was the background, we made a SIAP Update (core tax),” said Iwan at the DGT Office, quoted on Friday (23/9/2022).

To execute this core tax, DGT has prepared 3 working groups (Pokja). Pokja I regulate HR and organizational issues, Pokja II covers IT reform, business processes, and data, and Pokja III is responsible for regulations.

Meanwhile, Pokja II was appointed as the leader of the SIAP reform because the dominant reform in the core tax concerns the re-engineering of business processes that are closely related to technology.

“Business processes without information technology do not work,” he said.

Later, as many as 21 business processes under the auspices of DGT will be carried out in full in the core tax.

The business processes include the management of tax returns (SPT), document management system (DMS), taxpayer services, assessment services, supervision, extensification, tax collection, investigations, and objections to appeals.

In the old core tax system, Iwan said that business processes were already available. However, the picture is like a ‘growing house’ and the technology is outdated.

“Unable to support the development of services, so we emphasize that it must be replaced,” he said.