Jakarta Governor, Pramono Anung announced incentives in the form of regional tax reductions and exemptions to support the community and businesses. These tax incentives are provided based on the Governor's Decree.

The gubernatorial decree covers various types of taxes, including Land and Building Tax (PBB) P2, Land and Building Acquisition Tax (BPHTB), Motor Vehicle Tax (PKB), Motor Vehicle Transfer Fee (BBNKB), Certain Goods and Services Tax (PBJT) Arts and Entertainment, and Advertising Tax.

"I just signed several Governor's Decrees regarding regional tax reductions and exemptions," said Pramono, Wednesday (9/24).

This policy shows the Jakarta Provincial Government's commitment to implementing fair and proportional tax collection. This new decision maintains various previously offered incentives and adds several important points.

First, a 50 percent reduction in the Land and Building Tax (BPHTB) for first-time properties, bringing the rate down to 2.5 percent. This policy is specifically aimed at assisting families and young people in owning their first home, including acquiring rights under the Jakarta Provincial Government's Management Rights.

"Hopefully this can ease the burden on young families and the younger generation of Jakarta in buying their first home, so that it will be easier for them to have a decent place to live to start their new life,"

Second, a reduction of up to 100 percent in PBB for private elementary and secondary education institutions operating as foundations. Previously, the reduction was only 50 percent.

This incentive aims to allow private schools to focus on improving the quality of education without the burden of high taxes, thereby making school fees more affordable for parents.

Third, a 50 percent reduction in the Arts and Entertainment PBJT for film screenings in cinemas, arts and cultural performances for educational, charitable, and social purposes. This policy supports the creative and cultural world while also providing access to more affordable entertainment and education for the wider public.

Fourth, an advertising tax exemption for indoor objects such as cafes, restaurants, and shop houses . Pramono hopes that this incentive will make it easier for small and medium-sized businesses to promote their businesses without the burden of additional costs, thus enabling them to grow and attract more customers.

Fifth, motor vehicles valued below market value also receive a reduction in the vehicle tax (PKB). It is hoped this incentive will help people with older or simpler vehicles continue to pay lower taxes without worrying about burdening their families' finances.

"The remaining existing reductions or exemptions are maintained, such as PBB exemptions for veteran fighters, poor families, victims of natural disasters, etc," he added.

Pramono stated that these tax reductions and exemptions will be granted automatically, without requiring a request from the taxpayer, except under certain circumstances that require an application. This is to simplify the administrative process and provide certainty to the public.

"It is hoped that this incentive will ease the burden on the community and make the business world more active," he continued.

Pramono stated that tax revenues had been sufficient as of September, thus providing room for the Jakarta Provincial Government to provide further incentives.

Meanwhile, Head of the Jakarta Regional Revenue Agency (Bapenda), Lusiana Herawati, added that the region's current financial condition is very good. There is a surplus of revenue compared to expenditure.

These funds are ready to be used for various needs in the near future.

"The difference between income and expenditure is still above income," Lusi stated.