JAKARTA: Tax dispute cases continue to rise following the increasing amount of taxpayer and implementation of new tax law.
According to Former Chairman of Tax Court Tjip Ismail, it grows rapidly beyond the court capability in adjudicating a case.
Data from Tax Court shows the number of filled disputes continues to rise from 10.781 case files in 2008 to 14,473 files in 2009 and then reaching to 16,617 files in 2010.
On the other hand, Tax Court produced 3,770 verdicts in 2008, 4,616 verdicts in 2009, and 6,988 verdicts in 2010.
Based on the data, the court may only able to put verdict on half of tax dispute cases that are filled each year.
Up to now, Tax Court receives more than 50 case files a day. It means each judge must examine around 25 files each day of trial.
"Thus, cases become not focus and it delays verdict. Moreover, courtroom is inadequate," he said on Wednesday, June 13, 2012.
He estimated the court needs more than 100 tax judges to offset the number of incoming cases.
There are currently 60 tax judges in Indonesia, including 12 new judges sworn today at the Ministry of Finance.
According tax analyst from Indonesia Darussalam University Tax Centre, the number of tax disputes in Indonesia shows that cost of compliance toward tax law is still high.
"Although most of the cases are simple case but it continues to be disputed over and over again. The regulation should be formulated as clear as possible to minimize differences in interpretation between tax officer and taxpayer," said the analyst. (T06/aph)
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