PBB-P2 Imposition on Unproductive Private Islands will Be Studied Further by Bapenda

Jakarta Regional Earnings Board (Bapenda) will further study the proposal from Thousand Islands Regency regarding tax collection for unproductive empty island.

We will discuss it further at provincial level about tax collection for unproductive private islands

Jakarta Regional Earnings Board (Bapenda)'s Tax Revenue I Division Head, Yuspin Dramatin conveyed, geographical conditions in Thousand Islands are different from other regions on the mainland, thus it needs special treatment and further discussion to determine PBB-P2 application.

"We will discuss it further at provincial level about tax collection for unproductive private islands," she said after holding meeting with Thousand Islands Regency at Mitra Praja Building, North Jakarta, Wednesday (7/15).

January 1 - July 8, City's Tax Revenue Hit Rp 11.88 Trillion

She affirmed that PBB-P2 has a potential to add Local Revenue (PAD). In order to optimize PAD, it requires basis for the imposition of PBB-P2 by determining the Tax Object Selling Value (NJOP) of the land which set every year.

"Principally, PBB-P2 is a tax on land or building that are owned, controlled, and utilized by individual or entity. Thus whether the land is used or not, tax must still be imposed," she explained.