ANALYSIS ON TAXATION ASPECTS IN PUBLIC SERVICE AGENCIES

Abstract

As far as early November 2012, there were 143 Public Service Agencies in
various types of service, i.e. health (hospitals), education (universities), research
and examination institutions, fund managements, and finance managements (roll
over funds for micro-small-medium business, loans, and housing savings). That
number would increase in line with the Government's support for the
establishment of Public Service Agencies as an effort to advance services to the
society. The Public Service Agency would earn its income and spend its funds
either for the purposes of investment need or routine finance.
Public Service Agencies was not a profit oriented organization but it run its
activities flexibly in accordance with efficiency and productivity by implementing
a healthy business practice. In line with the valid rules of taxation in Indonesia,
over every matters (in the form of goods, services, activities, events) may be
subject of tax. Thus, Public Service Agency could be subjected of tax based on the
activities that it does. There are several types of taxes, i.e. the income tax, value
added tax, sales tax on luxury goods, land and building tax, and others.
This article discussed the various aspects of taxation that exist in the public
service Agencies. In fact, not all public service institutions have the same service
types. That’s why not all aspects of taxation were found in every public service
institutions. As a public service institution, which claimed to be efficient and
productive, it should have owned good and integrated systems. It would have an
impact on the amount of the tax increase and its tax administration could be
integrated.