Provosio Tax Consultant – Making Tax Consultant as a company asset , In carrying out its operations, every company or business activity must face various matters related to financial decision making (Irfani, 2020). As mentioned by Kiyosaki (2016) who offers two keywords in terms of understanding finance, namely assets and liabililiti.
According to him, liability can be understood as everything that costs us cash while assets are everything that provides income or income</a> to the company. This can be interpreted that the company’s goal of operating is to increase assets and profits by suppressing liabilities will be a source of financing.
Suandy (2004) believes that in business practice, entrepreneurs generally identify tax payments as a burden. With this mindset they will try to minimize the burden in order to optimize profits. In order to improve efficiency and competitiveness, a manager will try to reduce costs as small as possible, as well as tax payment obligations. This is because taxes will reduce profit after tax (tax after profit), rate of return and cash flow (Suandy, 2004).
Referring to data from the Indonesian Tax Consultants Association (IKPI), there are around 4500 tax consultants in Indonesia. This number is very minimal compared to the population which is currently more than 250 million people. If referring to the ideal comparison, there is an opportunity for 70 people to become tax consultants in Indonesia (Luthfi, 2015).
Why you need a tax consultant
An investor who wants to place his funds often faces the problem of choosing the form of business entity. A new investor or investor who wants to place his funds has various choices of where to place his investment funds. The choice of what form of business to run finally boils down to the amount of tax that will be borne (Pohan, 2013). For companies operating between countries, taxes are an important factor for choosing the establishment of a company because the effect of tax costs is directly related to production costs (Palan etc., 2010).
A tax consultant or tax consulting firm certainly has extensive and in-depth knowledge of tax regulations. Because they only focus on this, changes in regulations will not escape their attention. With this in-depth knowledge, the consulting team can make efficient tax planning. By using the Kiyosaki mindset, taxes are in the company’s burden quadrant, so this efficient planning can legitimately reduce the tax burden.
Planning is an element of management that directly or indirectly states that managers must first think things through. With this planning the organization will have direction and purpose. According to Zain (2008) tax planning is a structuring action related to the consequences of its tax potential with the emphasis on controlling each transaction. With this control, the efficiency of the amount of tax that must be transferred to the government account is obtained (tax avoidance) and not tax smuggling (tax evasion).
Errors in payment due to lack of understanding of the regulations is one of the risks for companies when fulfilling their obligations as taxpayers. This is where the importance of tax consultants lies, namely to help companies identify and manage tax risks that may arise in the future. The options provided by tax consultants are accompanied by risk analysis and strategies so that potential problems due to taxation do not arise.
In carrying out its tax obligations, a company is faced with serious sanctions and legal problems. This is because the position of the government as a regulator is very strong because it is under the law. So inevitably the company must comply with tax regulations. If the company hires a tax consultant, he can help ensure that the company’s operations comply with these regulations appropriately.
The government as the regulator has issued Minister of Finance Regulation No.111/PMK.03/2014 on Tax Consultant. The regulation is to provide clear signposts to both tax consultants and users of their services. According to the regulation, a tax consultant must be a member of a Tax Consultant Association registered with the Director General of Taxes and have a Tax Consultant Certificate.
These two things are to maintain their professionalism and accountability so that their rights and obligations are maintained.
Business decision support
In Lumbantoruan’s (1996) view, tax management is not only about fulfilling tax obligations, but also about how companies can utilize tax regulations to achieve their financial and business objectives. <Using this concept, business people can embrace their tax consultants as strategic business partners when making decisions related to corporate finance. <The in-depth knowledge and broad insight of a tax consultant will deliver a moving company with definite data so that several decisions such as investment, merger, acquisition or corporate reorganization are taken with careful consideration.
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Criteria to Become a Tax Consultant
In 2000 the Russian Ministry of Labor and Social Affairs issued a handbook for managers, professionals and employees for the tax consultant section. According to this manual, a tax consultant meets several criteria, namely:
Higher education in economics or law
Additional training in tax
At least 3 years of professional experience
Ministerial Regulation No. 111/PMK.03/2014 clearly regulates the criteria of this tax consultant, emphasizing that he/she must be an Indonesian citizen residing in Indonesia who has a certificate as a Tax Consultant and is a member of a Tax Consultant Association.
Meanwhile, according to Kristanto, 2009, they prefer to recruit accounting graduates compared to law graduates. Because it will be easier to teach law to accounting graduates than to teach accounting to law graduates.
Tax consultants in all countries have the basic task of explaining tax regulatory practices, managing economic and juridical service work on a company or legal entity, planning and mitigating taxation and preventing companies from violating tax regulations.
In Indonesia, the existence of tax consultants is regulated through Minister of Finance Regulation 111/PMK.03/2014 on Tax Consultants. In the ministerial regulation, it is written about the requirements of tax consultants, tax consultant licensing, certification and organization of tax consultants, tax consultant associations, rights and obligations, reprimands and suspension of tax consultant licenses. This regulation is then further clarified by the Regulation of the Director General of Taxes Number PER-13 / PJ / 2015 concerning Implementation Guidelines for Tax Consultant Provisions.
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Role of Tax Consultant
In tax regulations, there are many legal loopholes that we can take advantage of to minimize the tax burden legally, which means there is no need to deal with law enforcement in audits or investigations. The method taken is to tidy up the Tax management</a> and tax planning</a> of the company. The role of this tax consultant should have existed since the beginning of the company’s establishment. The importance of the presence of a tax consultant is to advise management on the choice of company form. As we know there are several forms or legal entities of business in Indonesia that are recognized by the Tax Law, namely:
Limited Liability Company (PT), Cooperative, Foundation
Firm Partnership (CV)
Individual (Luthfi, 2019)
Each of these entities has different consequences in terms of taxation. There are several factors that need to be considered in choosing this form of business according to Zain, 2003 in Pohan 2015, namely regarding how the relationship between personal income tax and corporate income tax, the imposition of multiple income taxes, and the opportunity to postpone the imposition of tax at a tax rate at a larger or smaller tax rate.
Through this description, it can be believed that tax consultants play a very important role in streamlining company operations from the time the company is established. Because of this role, the tax consultant team is an asset to a company.
Referensi
Managemen Perpajakan, Strategi Perencanaan Pajak dan Bisnis, Edisi Revisi,2013, Drs.Chairil Anwar Pohan, PT Gramedia Pustaka Utama
Eksistensi Konsultan Pajak Dalam pelaksanaan Self Asesment System , 2019, Cetakan Pertama, Chairul Lutfhi, Publica Institute Jakarta.
Perencanaan Pajak Edisi 4, 2008, Erly Suandy, Penerbit Salemba Empat, Jakarta
Rich Dad,Poor Dad, Robert T Kiyosaki, PT Gramedia Pustaka Utama
Menjadi Konsultan Pajak Kelas Dunia, 2009,Prijohandojo Kristanto
Manajemen Perpajakan,2008,Prof.Dr.H.Muhammad Zain, Ak.,Penerbit Salemba Empat Jakarta
Manajemen Keuangan dan Bisnis, Teori dan Aplikasi,2020,Dr. Agus Irfani MBA,PT Gramedia Pustaka Utama,Jakarta
(PDF) Peraturan Menteri Keuangan Republik Indonesia , Nomor 111/PMK.03/2014
Tax Heaven,How Globalization Really Works,2010,Ronen Palan,Richar Murphy and Christian Chavaneux. Cornell University Press