- Government has officially stipulated a Value Added Tax (VAT) incentive for houses under IDR 5 billion
- The purpose is to increase property purchasing power and boost economic growth
- The DTP VAT incentive is based on the Tax Imposition Basis (DPP) for a maximum of IDR 2 billion
- The incentive is divided into two terms, with different percentages of VAT borne by the government
- The policy can only be utilized once by one Population Identification Number (NIK) or Taxpayer Identification Number (NPWP)
- The incentive is only for new landed houses or flat units with a home identity code
- The policy can still be used for submissions with an installment scheme, even if the first payment was made before the implementation date.
Source: voi.id
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
