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Indonesia's Tax Ratio Trend in the Last 5 Years

Vika Azkiya Dihni 05/08/2022 14:30 WIB

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Although it increased compared to 2020, Indonesia's tax ratio in 2021 remained below pre-pandemic levels.

Indonesia's Tax Ratio to GDP (2017-2021)

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Indonesia's Tax Ratio Trend in the Last 5 Years

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Indonesia's Tax Ratio to GDP (2017-2021)

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The tax revenue-to-Gross Domestic Product (GDP) ratio, also known as the *tax ratio*, is one of the measures of a country's tax performance.

According to the Ministry of Finance's report, Indonesia's tax ratio in 2021 was 9.11% of GDP.

Although it increased compared to 2020, Indonesia's tax ratio in 2021 remained below pre-pandemic levels, as shown in the graph.

In 2017, Indonesia's tax ratio stood at 9.89% of GDP. This figure then increased to 10.24% in 2018, before falling to 9.77% in 2019, and plummeting to 8.33% in 2020.

2020 was the year in which Indonesia's tax ratio experienced its sharpest decline. This was due to the COVID-19 pandemic, which severely restricted economic activity.

Meanwhile, in 2021, Indonesia's tax ratio began to rise in line with the strengthening tax performance and the national economic recovery from the pandemic's impact.

(See also: Survey: Women More Compliant in Paying Taxes Than Men)

Editor : Adi Ahdiat

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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Indonesia's Tax Ratio Trend in the Last 5 Years

Indonesia's Tax Ratio Trend in the Last 5 Years

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Indonesia's Tax Ratio Trend in the Last 5 Years

Indonesia's Tax Ratio Trend in the Last 5 Years

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