Indonesia's Tax Revenue Reaches Rp624 Trillion by April 2024

The Ministry of Finance (Kemenkeu) recorded tax revenue of Rp624.19 trillion for the January-April 2024 period. This figure represents 31.38% of the target in the 2024 State Budget (APBN).

However, this tax revenue realization is down 9.3% year-on-year (yoy) compared to January-April of the previous year.

According to Finance Minister Sri Mulyani, this decrease is due to weakening commodity prices.

The largest tax revenue in January-April 2024 came from non-oil and gas income tax (PPh nonmigas), amounting to Rp377 trillion, or 35.45% of the APBN target.

"This is still quite on track for four-month performance, but the growth is negative 5.43% (yoy)," said Sri Mulyani in the APBN KiTa press conference on the Kemenkeu YouTube channel, Monday (27/5/2024).

The contraction in non-oil and gas income tax is influenced by the weakening of annual corporate income tax, reflecting a decline in profitability in 2023. This resulted in lower tax obligations, particularly in the mining sector.

Next, Value Added Tax (PPN) and Luxury Goods Sales Tax (PPnBM) revenue increased by 5.93% (yoy) to Rp218.50 trillion, fulfilling 26.93% of the target.

Meanwhile, oil and gas income tax (PPh migas) revenue fell by 23.24% (yoy) to Rp24.81 trillion, realizing 32.49% of the target.

Furthermore, Land and Building Tax (PBB) and other taxes also decreased by 22.59% (yoy) to Rp3.87 trillion. This decrease is due to the absence of recurring tax bill payments in 2023. Realization only met 10.27% of the target.

Overall, state revenue up to the end of April 2024 reached Rp924.9 trillion, while state expenditure reached Rp849.2 trillion.

With higher revenue realization than expenditure, the APBN recorded a surplus of Rp75.7 trillion, or 0.33% of GDP as of April 30, 2024.