Jakarta Tax Agency Clarifies Viral Tweet on 100 pct Tax Increase

TEMPO.CO, Jakarta - Jakarta Governor Anies Baswedan has ratified a policy on the 19.54 percent increase in 2018 taxable value of the property (NJOP). The tax hike affected the increase of the land and building tax (PBB) in several areas of Jakarta.

The rule was regulated in Gubernatorial Decree No. 24/2018 on 2018 NJOP and the land and building tax in rural and urban areas (PBB-P2).

A Twitter account @hotelsyariahJKT made complaints on the price hike of PBB in Jagakarsa, South Jakarta. The post saying the tax rose up to 100 percent went viral in a short period. 

Responding to the complaint, Jakarta Tax and Retribution Agency Head Faisal Syafruddin said the increase of NJOP was set based on market surveys in respective areas. For example, he added, the land in Jagakarsa, South Jakarta, recently valued at around Rp7,000,000 while NJOP set by the city administration was at Rp5,000,000.

“We are being fair, not all regions experience the tax increase. We raise it in commercial areas. In Jagakarsa, the tax increases since many clusters built, compared to ages ago when it’s only ground,” he said at the City Hall, Thursday, July 19.

According to Faisal, the increase in PPP P-2 was imposed should the tax object was listed in a higher category. The tax of land and buildings in rural and urban areas is regulated in Regional Decree No. 16/2011 on PBB P-2.

There are four tariffs of PBB-P2; 0.1 percent for NJOP that below than Rp200 million, 0.1 percent for NJOP at the range of Rp200 million to Rp2 billion, 0.2 percent for NJOP’s value that around Rp2 billion to 10 billion, and 03 percent for NJOP over Rp10 billion. Thus, the tax object that previously in 0.1 percent tariff, but it might be in 0.2 or 0.3 categories in 2018. 

BISNIS.COM