Ultimum remedium means criminal law is regarded as a last resort, used when other means, such as administrative sanctions, are no longer adequate. In taxation, the main goal is recovering state revenue and improving compliance, not punishment alone.
Why it matters
- Many tax issues stem from differing interpretations or administrative errors, not malicious intent.
- An overly repressive approach can erode taxpayer trust and compliance.
- The General Provisions and Tax Procedures Law and its amendments leave room to recover losses to state revenue before criminal proceedings run their full course.
A note for taxpayers
If you receive a preliminary evidence examination or a summons, gather your documents at once, understand the status of the examination, and consult an adviser who masters both the legal and tax aspects.
This topic is also the focus of my academic article Application of the Ultimum Remedium Principle in Indonesian Tax Criminal Law Enforcement.
This article is educational and not legal advice for any specific case.
