Indonesia tax authorities report major enforcement gains and fraud cases

The Indonesian Directorate General of Taxes (DJP) has reported significant results from recent tax law enforcement actions in Central Jakarta and East Java.

In Central Jakarta, the DJP handed over a suspect, the President Director of PT GR (initials ADW), to the Central Jakarta Public Prosecutor's Office. The company, a mining and exploration consultancy, is accused of failing to submit Value Added Tax (VAT) returns and submitting incorrect reports between February 2023 and December 2024. The investigation found that while the company collected VAT from partners on transactions totaling Rp38.42 billion, it allegedly used the funds for operational costs and debt repayment instead of remitting them to the state. This resulted in a state loss of approximately Rp3.32 billion. Authorities have seized Rp2 billion in connection with the case.

Meanwhile, the DJP East Java II Regional Office has secured Rp140.87 billion in state revenue through enforcement activities as of September 10, 2026. This total includes Rp119.29 billion from preliminary evidence examinations, Rp1.3 billion from investigations, and Rp20.28 billion from law enforcement collaborations. The office highlighted the use of digital forensic technology and tax intelligence to identify non-compliant taxpayers and manage suspended taxpayers.