A majority of tax officials support the plan that would remove the agency from under Finance Minister Sri Mulyani Indrawati’s watch, said the people, who asked not to be named, as they’re not authorised to publicly discuss the matter. The move would likely need approval from parliament and from President Joko Widodo to be realised.
Mulyani is already battling a crisis of confidence on two fronts as the government starts an investigation into more than $20 billion in suspicious transactions that the state watchdog found at her ministry. The finance minister has over the past few years focused on building the public’s trust in order to improve tax compliance, which remains among the lowest compared to peers.
The tax office is currently focused on institutional reform to become"strong, credible and accountable” through five pillars including structural, human resources and database improvement, said spokeswoman Dwi Astuti in response to Bloomberg questions on the plan.The plan to split from the ministry has taken on more urgency recently as tax officers are concerned after hearing the parliament may form a special panel to investigate them, said the people.
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