Jakarta (ANTARA News) - Senior economist Emil Salim said the tax amnesty policy effective until March 2017, has little possibility of failing in increasing tax revenues to finance development programs of the government.

The former Minister of the Population and Environment Affairs said he is confident the policy would be a success as the government is serious in formulating its program.

"What is important is that we are serious in carrying on with development program," he said here on Tuesday.

He said the policy was aimed at overcoming the difficulty in raising fund to finance development amid the global economic slowdown, while the government is set to continue with its development program especially in infrastructure.

He said the tax amnesty policy is to bridge the financial gap created by a decline in revenue while economic development has to continue.

However, he said tax amnesty is not the final solution to financial problem in development, as at the end the tax payers have to be the ones to pay for the cost of development.

Tax amnesty is only a phase in coping with big financial difficulty, he said.

The policy calls for repatriation of funds owned by Indonesian companies or individuals.

The government needs the fund to help finance its development programs especially development of infrastructure.

The government hopes to earn Rp165 trillion in tax as a result of the policy, effective as from July 1, 2016 to March, 2017.

The program is also expected to help speed up the process of tax reform and expand tax base.
(Uu.H-ASG/B003)

Editor: Priyambodo RH
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