Indonesian Finance Minister Bambang Brodjonegoro is optimistic that the Tax Amnesty Bill can be turned into law at the next meeting with the House of Representatives (DPR). Although not all 27 articles of the Tax Amnesty Bill have been discussed yet among both institutions, the most crucial articles have been debated and the DPR seems to agree that the bill will raise the government's tax revenue. The government and DPR agree that deliberations should be completed by 28 July 2016.

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There are plenty of Indonesian names mentioned in the Panama Papers, the massive leak of about 11.5 million confidential documents from the database of Panama-based law firm Mossack Fonseca. Here we present the top 20 of largest Indonesian companies mentioned in the leaked documents. Although it is widely known that offshore firms (special purpose vehicles) in tax havens are set up to engage in tax evasion, it needs to be emphasized that not all people and companies named in the documents are in fact involved in violations of the law.

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On 10 April 2016, Indonesia Investments released the latest edition of its newsletter. This free newsletter, which is sent to our subscribers once per week, contains the most important news stories from Indonesia that have been reported on our website over the last seven days. Most of the topics involve hot topics and economic matters such as Indonesian links to the controversial Panama Papers, the cut in 2016 government spending, higher non-taxable income, public debt, oil output, a corruption case, profiles of Indonesian companies, and more.

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Not only in Indonesia but also around the globe tax evasion remains a major problem for governments and tax offices. This problem was again highlighted by the Panama Papers, the massive leak involving around 11.5 million confidential documents from the database of Panama-based law firm Mossack Fonseca. These documents make mention of political figures, businessmen, celebrities and sport stars who have created secret shell companies and offshore accounts in an effort to avoid tax obligations. World leaders have again vowed to combat tax evasion.

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Reportedly, around 3,000 Indonesian individuals and companies are mentioned in the Panama Papers, the massive leak involving around 11.5 million confidential documents from the database of the world's fourth-largest offshore law firm, Mossack Fonseca. These documents show how political figures as well as celebrities, sport stars and businessmen exploit secretive offshore tax regimes. Icelandic Prime Minister Sigmundur David Gunnlaugsson became the first victim of the leakage (he resigned on Tuesday). What about Indonesia and the Panama Papers?

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How did Indonesia's richest billionaires do during Indonesia's slowing economic growth in 2015 when gross domestic product (GDP) hit the five-year low of 4.79 percent (y/y)? Comparing the wealth of the top ten of richest Indonesians in April 2016 and December 2014 there were only three Indonesian billionaires that saw their net worth rising. Meanwhile, this article also takes a quick look into which Indonesian tycoons or well-known businessmen were listed in the Panama Papers, one of history's largest document leaks.

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More changes to Indonesia's tax system are in the pipeline. Today (11/04), Indonesia's Finance Minister Bambang Brodjonegoro said Southeast Asia's largest economy plans to cut the corporate income tax rate to 20 percent this year (from 25 percent currently). According to Brodjonegoro a 20 percent corporate tax rate is more competitive and will attract investment. Indonesia's finance minister expressed this plan in a meeting with the nation's parliamentary commission overseeing taxes (an income tax rate cut requires parliamentary approval).

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Indonesian President Joko Widodo (Jokowi) called for an investigation into the Indonesian people and companies mentioned in the Panama Papers, the massive leak involving 11.5 million confidential documents from the database of Panama-based law firm Mossack Fonseca. These documents list names numerous people - including of political figures, businessmen, celebrities and sport stars - who have created secret shell companies and offshore accounts in tax havens (possibly in an effort to avoid tax obligations).

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