Central Java Provincial Government Waives Motor Vehicle Fines and Progressive Tax

Semarang (ANTARA) - The Central Java Provincial Government has officially implemented a relaxation policy involving the waiver of administrative sanctions on motor vehicle tax, progressive tax, and the waiver of sanctions for the Mandatory Road Traffic Accident Fund (SWDKLLJ) from Jasa Raharja.

The Head of the Central Java Regional Revenue Agency (Bapenda), Masrofi, stated in Semarang on Friday that this relaxation will be in effect from 21 September until 28 December 2026.

The waiver of tax fines and progressive tax has been approved by the Governor of Central Java, Ahmad Luthfi, and formalised through the issuance of Central Java Governor’s Decree Number 100.3.3.1/321 regarding the exemption of administrative sanctions and progressive vehicle taxes.

“The Governor is providing incentives or relaxation for citizens with outstanding motor vehicle taxes by waiving the vehicle tax fines,” he said.

“Furthermore, we are also waiving the progressive tax for the second, third, and subsequent vehicle ownerships,” he continued.

He explained that this policy is one of the efforts to increase compliance in motor vehicle tax payments and to reduce tax arrears in Central Java.

“The arrears consist of many two-wheeled vehicles, because out of the 17 million vehicles in Central Java, approximately 80 per cent are two-wheelers and 20 per cent are four-wheelers,” he said.

Tax incentives or relaxations have previously been provided by the Central Java Provincial Government; since February 2026, a 5 per cent tax incentive has been in place and remains active to this day.

He added that tax compliance is the primary target of this relaxation policy, as public compliance in paying taxes will directly impact development within the Central Java region.

“Tax revenues will return to the community through the development of infrastructure, education, health, and other sectors,” he said.

Meanwhile, the Head of the Jasa Raharja Regional Office in Central Java, Hendriawanto, stated that regarding this tax relaxation, Jasa Raharja is also participating by providing the waiver of administrative sanctions or SWDKLLJ fines.

“Therefore, fines from previous years will not be collected. The goal is to increase public compliance with their tax obligations,” he said.