Higher Tax on the Wealthy Could Add $5.1 Billion to Indonesia's Annual Revenue

Bisnis | Ekonomi - Posted on 13 August 2025 Reading time 5 minutes

The government could potentially collect Rp81.56 trillion in revenue if it imposed an additional tax on wealthy Indonesians, with a rate set at only 2% of their total assets.
This statement was made by the Fiscal Policy Director of the Center of Economic and Law Studies (CELIOS), Media Wahyudi, during a discussion on Tuesday (August 12, 2025).

 

“By applying a 2% tax rate on total wealth, the potential annual revenue could reach Rp81.56 trillion. The 50 richest individuals in Indonesia have a minimum wealth of around Rp15 trillion, with an average wealth of Rp159 trillion,” he explained.

 

He stated that such a policy would allow the government, particularly the Directorate General of Taxes under the Ministry of Finance, to explore new revenue sources instead of what he referred to as ‘hunting in the zoo.’

 

According to CELIOS, implementing a wealth tax not only serves as a source of state revenue but also represents a manifestation of social justice.

 

“The actual potential of a wealth tax could be even greater. Furthermore, the purpose of a wealth tax is not solely to generate state income but also to promote social justice by limiting the dominance of a small elite in the economy,” he added.

 

Based on CELIOS’s explanation, a wealth tax is a type of progressive tax imposed on an individual’s net total assets, which include properties such as land, real estate, stocks, vehicles, artworks, and bank deposits. This tax serves as a contribution from those who benefit the most from the economic system to the wider society.

Source: cnbcindonesia.com

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