Jakarta. Indonesia's tax revenue rose 24.6% in the first half of 2026 from a year earlier, but the government now expects collections to fall slightly short of its full-year target as commodity prices normalize and global economic growth slows.

Tax revenue reached Rp 1,035.7 trillion (about $57.5 billion) during the January-June period, up from Rp 831.3 trillion a year earlier, according to the government's updated 2026 fiscal outlook presented to the House of Representatives on Tuesday.

Despite the strong first-half performance, the Finance Ministry now projects full-year tax revenue of Rp 2,310.8 trillion, or about 98% of the Rp 2,357.7 trillion target set in the 2026 state budget.

Revenue from customs and excise duties is also expected to undershoot its annual target, reaching only 95.4% of the budgeted amount.

Finance Minister Purbaya Yudhi Sadewa said he would take firm action against tax officials who fail to meet professional standards or respond promptly to public complaints.

“If there are officers who are too slow or become the subject of public complaints, we will act quickly,” Purbaya told reporters after the parliamentary meeting. “I now have the authority to suspend personnel, and I will do so if they are not performing their duties properly.”

While noting that most tax officials have shown improved performance, Purbaya said the ministry would continue evaluating employees who fail to deliver efficient public services.

The Finance Ministry is also working to improve its Coretax online tax administration system, which has experienced technical problems since its rollout. Purbaya said upgrading the platform's user interface and processing speed remains a priority to improve taxpayer services.

Indonesia's tax revenue has fluctuated in recent years. Collections reached record highs in 2022 and 2023, supported by a commodity export boom, before growth moderated in 2025 as commodity prices normalized and the global economy lost momentum.

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