IMF Working Papers

Tax Administration Reform and Fiscal Adjustment: The Case of Indonesia (2001-07)

By John D Brondolo, Frank Bosch, Eric Le Borgne, Carlos Silvani

May 1, 2008

Download PDF

Preview Citation

Format: Chicago

John D Brondolo, Frank Bosch, Eric Le Borgne, and Carlos Silvani. Tax Administration Reform and Fiscal Adjustment: The Case of Indonesia (2001-07), (USA: International Monetary Fund, 2008) accessed November 9, 2024
Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary

Tax administration reforms can play an important role in fiscal adjustment. This role is examined by reviewing Indonesia's tax reform cum fiscal adjustment experience since 2001. The paper describes Indonesia's fiscal adjustment strategy, its tax administration reforms, and assesses the impact of these reforms on fiscal adjustment. Evidence suggests tax administration improvements had a strong positive impact on the tax yield and a positive effect on the investment climate. Lessons are presented for designing tax administration reforms within the context of a fiscal adjustment program and reform priorities are identified for Indonesia's ongoing efforts to strengthen tax administration.

Subject: Fiscal consolidation, Revenue administration, Tax administration core functions, Tax collection, Value-added tax

Keywords: Administration reform, Reform strategy, Sales tax, Tax administration, WP

Publication Details

  • Pages:

    70

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Working Paper No. 2008/129

  • Stock No:

    WPIEA2008129

  • ISBN:

    9781451869880

  • ISSN:

    1018-5941

You May Also Be Interested In...

Citizens Perceptions of Tax Authorities and Tax Efficiency

November 8, 2024

The Federal Democratic Republic of Ethiopia: First Review Under the Extended Credit Facility Arrangement, Request for Modification of Performance Criteria, and Financing Assurances Review-Press Release; Staff Report; and Statement by the Executive Director for The Federal Democratic Republic of Ethiopia

November 4, 2024

Kenya: Seventh and Eighth Reviews Under the Extended Fund Facility and Extended Credit Facility Arrangements, Requests for Reduction of Access, Augmentation and Rephasing of Access Under the Arrangements, Modifications of Performance Criteria, Waiver of Nonobservance of Performance Criteria, and Review Under the Resilience and Sustainability Facility Arrangement-Press Release; Staff Report; and Statement by the Executive Director for Kenya

November 1, 2024

Public Investment Management Bottlenecks in Low-income Countries

November 1, 2024