Although until June 2015, the tax revenue of motor vehicle tax (PKB) is only Rp 2.1 trillion, but Jakarta Tax Service Department remains committed to achieve target by Rp 6.65 trillion by the end of this year. Moreover as from June 1 ago, the city administration has increased progressive tax rate of vehicles by 0.5 percent.

We're optimistic target can be achieved by the end of this year

"We're optimistic target can be achieved by the end of this year," said Head of Information Service and Regional Tax counseling Technical Management Unit (UPT) for Jakarta Tax Service Department, Andri Kunarso, Friday (6/5).

The optimism, he continued, is based on the new progressive tax rate that is not only charged on the basis of vehicle owner's name, but also based on their address, ID Card,and family card (KK).

"The tax rate charge is based on the civil registration of ID Card and Family Card which is in Jakarta Population and Civil Registration Department. We're optimistic target of the tax revenue will be achieved this year," he told.

He explained, in this new regulation, one person in one family who live in the same place and printed on family card, will be charged progressive tax rate when paying new vehicle tax. It is different with Regional Regulation No.8/2010, the amount of progressive tax in this year increased by 0.5 percent for first vehicle and so on.

"Progressive tax rate in 2010 was adjusted from 1.5 percent on the first vehicles to be 2 percent. Likewise with the second vehicle, from 2 percent to be 2.5 percent. Its increase amounted to 0.5 percent is applied for first to seventeenth vehicles," he explained.

Kunarso disclosed, the new rate has been informed to citizens by installing banners in the Motor Vehicle Document Centers (SAMSAT) in five areas in Jakarta.

"It's the part of our effort to convey to citizens related to the application of Regional Regulations No. 2/2015 on Progressive Tax," he disclosed.

Besides banners installation, his party also hold socialization to citizens thus they pay the tax on time. It is conducted in every community activities in each urban village or sub-district office.

"We also appeal citizens to pay tax on time thus it will not be debt and fined 2 percent," he uttered.

He added, the tax rate adjustment is the initiative of Jakarta Governor in order to limit the increase of personal vehicles in Jakarta. "We hoped the new tax regulation could be effective minimizing the increase of personal vehicles in Jakarta," he disclosed.