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Jakarta Post

City expects to record excess tax revenue

Ivany Atina Arbi (The Jakarta Post)
Jakarta
Mon, December 18, 2017

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City expects to record excess tax revenue Motorists drive underneath an advertisement for the tax amnesty on a pedestrian bridge in Central Jakarta on July 18. (JP/Dhoni Setiawan)

T

he Jakarta Tax and Levy Board is confident the city will reap an excess tax revenue of nearly Rp 300 billion (US$21 million) this year, thanks to additional income from the luxury vehicle tax.

In August, the board went door-to-door to collect tax on luxury cars in the capital. According to the board’s data in August, the owners of about 1,700 out of 4,000 luxury cars in the capital had yet to pay the taxes.

“We recorded revenue of Rp 300 billion from going door-to-door in August,” Jakarta Tax and Levy Board head Edi Sumantri said at City Hall on Monday, adding that the target for tax revenue in 2017 was around Rp 3.3 trillion.

“We are optimistic that we can book up to Rp 3.6 trillion in tax revenue by the end of this year,” Edi stated.

In order to fulfil the tax revenue target this year, the board has also decided to scrap fines for vehicle tax (PKB) and vehicle-ownership transfer fee (BBN-KB) evasion for a month from Nov. 20 to Dec. 20 this year.

Edi explained that the target for PKB and BBN-KB income had been 99.24 percent met as of Monday. The 100 percent target, he said, could be achieved by the end of this month.

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