TAX RECEIPTS MAY FALL SHORT OF TARGET: MINISTER

Jakarta, June 30 (ANTARA) - Indonesia's tax receipts may fall short of the government-set target this year due to the economic downturn, a minister said.

"Tax receipts in 2009 are projected at Rp577.6 trillion or 98.3 percent of Rp587.8 trillion set in the economic stimulus document," Finance Minister Sri Mulyani Indrawati said at a working meeting with the House of Representatives' budget committee here on Tuesday.

She said first-quarter tax receipts stood at Rp256.7 trillion, accounting for 43.7 percent of the target for 2009.

The lower-than-expected tax receipts were the result of economic slowdown, low imports, a decline in average crude oil prices and a drop in value added tax on imports, she said.

Income tax on non-oil/non-gas commodities would likely reach Rp290.9 trillion or 103.6 percent of the target, income tax on oil and gas commodities Rp49.5 trillion or 127.7 percent of the target and property tax Rp23.9 trillion or 100 percent of the target, she said.

However, value added tax and domestic sales tax might reach Rp136.9 trillion or 98.6 percent of the target and luxury sales tax on imports Rp66.2 trillion or 69.8 percent of the target, she said.

She said state revenues from fees on land and building titles might fall to Rp7 trillion and other taxes to Rp3.3 trillion or 91.8 percent of the target.

Unlike tax receipts, state receipts from excise and import duties might exceed the target set in the economic stimulus document for 2009, she said.

Customs and excise receipts were projected to reach Rp74.6 trillion, representing 100.9 percent of the target of Rp73.9 for this year, she said.

She said excise and import duty receipts would reach Rp54.5 trillion or 100.3 percent of the target and Rp18.6 trillion or 108.6 percent of the target respectively.

"The increase in excise receipts will be helped by the government's policy to raise excise by an average of 7 percent in February 2009," she said.