Predictive Compliance: Data-Driven Approach to Reduce Tax

Indonesia is exploring predictive compliance – the use of data analytics to identify tax‑dispute risks early – as a way to cut tax litigation. In 2024 the Tax Court Secretariat recorded 17,200 resolved cases and 11,835 new dispute filings.

Regulatory uncertainty in taxation remains a key obstacle to investment, noted in the 2024 Investment Climate Statement by the U.S. Department of State. Although new filings fell 6.9 % from the previous year, unclear rules continue to generate fresh cases each year.

Adopting the approach could lower administrative burdens, stabilize revenue and give taxpayers and investors greater legal certainty. The measure aligns with Indonesia’s 2025‑2029 national development plan, which aims to boost tax receipts while improving the investment climate, making the tax system more modern, fair and predictable. Read the full source at news.ddtc.co.id (https://news.ddtc.co.id/komunitas/lomba/1814362/cegah-sengketa-pajak-dengan-pendekatan-predictive-compliance).