BUMN Restructuring Exempt from Tax for Three Years, Purbaya Reveals the Reasons
Finance Minister Purbaya Yudhi Sadewa will exempt tax levies for the restructuring of BUMNs for three years, with plans to reduce them from 1,077 companies to 200–300 companies.
“He (Head of the BUMN Management Agency, Dony Oskaria) said the president’s target is one year. We are giving space until 2029. After that, normal taxes will apply,” said Purbaya during the Press Conference on the Results of the Periodic KSSK Meeting II of 2026 at the Bank Indonesia Office Complex, Jakarta, on Thursday, 7 May 2026.
He explained that the tax exemption aims to streamline the BUMN restructuring process, which is being carried out by the BUMN Management Agency and the Danantara Investment Management Agency. Purbaya assured that the tax exemption is currently in effect.
“Starting now. It’s already underway (tax exemption),” said Purbaya.
Streamlining is the process of restructuring, simplifying the structure, and reducing the number of BUMNs through mergers, consolidations, liquidations (dissolutions), and others. The goal of streamlining is to create state-owned companies that are more efficient, focused on core businesses, and financially healthy.
“There are costs involved in this (corporate actions) and all sorts. If we tax them during buying and selling for efficiency, the costs become very expensive,” said Purbaya.
Based on these considerations, Purbaya decided to exempt BUMN streamlining from taxes. However, he emphasised that the tax exemption only applies to corporate actions in the context of BUMN streamlining. Meanwhile, income and others will still be subject to taxes as usual.
“If it’s regular income, yes (taxed). But for merging, acquisitions, we set it to zero (tax). We give three years until 2029,” said Purbaya.
After three years, continued Purbaya, if corporate actions for BUMN streamlining are not completed, they will be subject to regular taxes.
“For example, if not finished, there are still mergers or acquisitions, we charge normally. There is tax for that,” he said.
The Head of the BUMN Management Agency and COO of Danantara, Dony Oskaria, reaffirmed the government’s commitment to comprehensive transformation and restructuring by cutting 1,077 companies to around 200–300 BUMN companies.
He stated that the BUMN reduction process will be fully executed in 2026, as ordered by President Prabowo Subianto. As of 28 April, 167 state-owned enterprises (BUMNs) have been liquidated in the past year. In addition to liquidation, there are three other BUMN optimisation strategies, namely divestment, consolidation, and restructuring.