Medan City intensifies tax supervision and revenue optimization

The Medan City Government is implementing strategies to optimize regional original income (PAD) through enhanced tax supervision and the expansion of tax and retribution bases.

The Regional Revenue Agency (Bapenda) of Medan has intensified field monitoring of the nightlife sector. Led by Bapenda Head M. Agha Novrian, officials conducted inspections at popular venues including Raeye, Golden Tiger, and Gold Dragon during late-night hours. These inspections aim to verify that actual visitor numbers and business activities align with reported tax data to prevent revenue leakage.

In a separate legislative development, Medan Mayor Rico Waas addressed the Medan DPRD regarding amendments to local tax and retribution regulations. The Mayor emphasized that increasing regional revenue will not rely solely on raising rates, but rather on expanding the tax base, improving compliance, and utilizing digitalization. The proposed changes align with national laws regarding the financial relationship between central and local governments and include adjustments to building permit (PBG) retributions and cleaning service fees, while considering the economic capacity of the community.