Jakarta issues incentives to abolish regional tax administration sanctions

Tax illustration. Source: freepik.com

JAKARTA (19/9) - Jakarta Capital City Government issues a policy to abolish tax administration sanctions as regulated in the Decree of the Head of Board for Regional Revenue (Bapenda) of Jakarta Number 1588 of 2022 concerning the Abolishment of Regional Tax Administration Sanctions. 

This incentive is part of the national economic recovery in the post-Covid19 pandemic, revenue targets acceleration, and a stimulus for taxpayers to increase awareness and compliance in regional tax payment administration. 

The Head of Board for Regional Development (Bapenda) of Jakarta, Louisiana Herawati, stated that the abolishment of regional tax administration sanctions policy is valid from September 15th to December 15th 2022.

The policy for administrative sanctions abolishment in 2022 is given automatically by making adjustments in the Regional Tax Management Information System. 

“We encourage all taxpayers to immediately fulfill their tax obligations by utilizing the 2022 administrative sanction abolishment policy to ease them in paying off their tax obligations as well as an effort in supporting the economic recovery in Jakarta,” said Lusiana on Wednesday (14/9). 

The policy for regional tax administrative sanctions abolishment is as follows:

1. The abolishment of regional tax administration shall be granted to the taxpayers who have paid the regional tax from September 15th 2022 to December 15th 2022.
2. The abolishment of regional tax administration sanctions as referred to include the following types of taxes:

1. Hotel tax;
2. Restaurant tax;
3. Entertainment tax;
4. Parking tax;
5. Motorized vehicle fuel tax (PBBKB);
6. Vehicle ownership transfer fees (BBNKB);
7. Property transfer fees (BPHTB)
8. Motorized vehicle tax (PKB);
9. Advertisement tax;
10. Rural and urban land and building tax (PBB-P2); and
11. Groundwater tax (PAT).

3. The abolishment of administrative sanctions are given to:

1) Administrative sanctions in the form of interest from a late payment of tax payable and/or time deposit that have passed due date for the following types of taxes:

1. Hotel tax;
2. Restaurant tax;
3. Parking tax;
4. Entertainment tax;
5. Motor vehicle fuel tax (PBBKB);
6. Vehicle ownership transfer tees (BBNKB);
7. Property transfer fee (BPHTB);
8. Motorized vehicle tax (PKB);
9. Advertisement tax; and
10. Groundwater tax (PAT).

2) Administrative sanctions in the form of interest as listed in the notice of local tax collection (STPD) which are not or underpaid for the following types:

1. Hotel tax;
2. Restaurant tax;
3. Parking tax;
4. Entertainment tax;
5. Motor vehicle fuel tax (PBBKB);
6. Property transfer fee (BPHTB);
7. Advertisement tax;
8. Rural and urban land and building Tax (PBB-P2); and
9. Groundwater Tax (PAT).

3) Administrative sanctions in the form of fines from late registration for the following types:

1. Hotel tax;
2. Restaurant tax;
3. Parking tax;
4. Entertainment tax;
5. Motor vehicle fuel tax (PBBKB);
6. Vehicle ownership transfer tees (BBNKB);
7. Motorized vehicle tax (PKB);
8. Advertisement tax; and
9. Groundwater tax (PAT).

Source: Kontan

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