Indonesia ranks seventh in biggest illicit financial flows (IFF) among developing countries for year 2003-2012. While in 2014, IFF in Indonesia in 2014 is estimated reaching IDR 227.75 trillion ($20 billion). Mining sector contributes IDR 23.89 trillion ($2 billion), mainly derived from trade misinvoicing.
Recently, Publish What You Pay Indonesia conducted study on IFF and tax crime in the mining sector in Indonesia. This is an urgent issue, given the fact that Indonesia’s position among the top seven developing countries with highest IFF
Based on PWYP Indonesia’s calculation, the estimation of IFFs in Indonesia in 2014 reached IDR 227.7 trillion, or the equivalent of 11.7% of the revised state budget (APBN-P) for 2014. The mining sector contributes to more than 10% of the total IFFs which is around IDR 23.89 trillion. Around IDR 21.33 trillion comes from trade misinvoicing and IDR 2.56 trillion comes from hot money narrow. There is also a unsurprisingly low tax ratio of the mining sector in 2013, which only reached 9.4%. This low number is closely related to the rampant practices of tax evasion and tax avoidance.
On December 9-10, 2021, the first of two Summits for Democracy will take place in the United States with the aim of setting forth an affirmative agenda for democratic renewal and to tackle the greatest threats faced by democracies today, including corruption, through collective action. Corruption in the oil, gas and mineral sector undermines the efforts…
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Taxation is seen as one of the most sustainable sources of revenue for governments, with the potential to contribute to investments in basic services and to enhance the social contract between citizens and their government. Our new synthesis research report explores the fiscal regimes in Mozambique, Tanzania and Uganda and how they can be improved…
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Since seizing power in February 2021, the Myanmar military has faced widespread allegations of human rights violations. Companies operating in Myanmar must make challenging decisions about how to responsibly navigate the crisis. International oil companies, including energy majors Total and Chevron, are under particular scrutiny as the military regime continues to sustain itself with revenues…
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