No Relief for Residents Living in Luxury Housing

Jakarta Governor, Joko Widodo (Jokowi) reminded all urban village chiefs not to easily pass the relief request of the citizens who live in luxury housing related to the increase in 2014 property tax (PBB).

I do not want any resident who lives in luxury housing asking for remission. Do not grant such request

“I do not want any resident who lives in luxury housing asking for relief. Do not grant such request,” affirmed Jokowi at the City Hall, Thursday (4/10).

According to Jokowi, the increase of the property tax is caused by too much difference of the Tax Object Sales Value (NJOP) with the market prices. For example, the market price is Rp 100 million while its NJOP only reached Rp 10 million. For that reason, the city administration seeks to bring NJOP at market prices.

NJOP in Jakarta Comes Close to Market Price

"But it is still more than half part to closer the NJOP to the market price," he said.

As it is known, city administration has increased the NJOP to 20-140% with progressive price. This circumstance could lift the property tax, but still, the public can have a right to propose a remission.

Head of Jakarta Planning Development Potential of Regional Tax, Aulia Salim explained there is an objection with this property tax rates that currently exist, the public may submit property tax relief payment. However, not all requests can be granted.

“We welcome the public who want to claim remission, but we cannot grant all the relief proposals," said Salim.

He added that to get a tax relief , people can directly come to the nearby office of the Regional Tax Unit (UPPD).