DKI Jakarta Grants 50% Tax Relief for Arts and Entertainment Services
Jakarta (ANTARA) - The Provincial Government of DKI Jakarta is providing a 50% tax relief on arts and entertainment services for national film screenings as part of efforts to build Jakarta into a cinema city.
“This 50% relief can serve as an incentive for production houses. So it is returned to production houses to produce more films,” said DKI Jakarta Governor Pramono Anung in Jakarta on Sunday.
Pramono explained that the 50% tax exemption will be returned through the DKI Jakarta Regional Revenue Agency (Bapenda) to be fully utilised for the film ecosystem, including infrastructure development and national film strengthening programmes.
The tax relief policy is stipulated in Gubernatorial Decree (Kepgub) Number 531 of 2026 concerning the Provision of Principal Tax Relief and Certain Services for Arts, Entertainment, and National Film Screenings.
Pramono said the policy was adopted after lengthy discussions with the association of film producers and the association of cinema operators throughout Indonesia.
“We hope this incentive will make the film community, especially in Jakarta, more enthusiastic about making Jakarta a cinema city as well as the centre of the Republic of Indonesia’s film industry,” he explained.
Previously, Deputy Governor of DKI Jakarta Rano Karno stated that the DKI Jakarta Provincial Government is seeking to simplify the licensing process for film and content production. This step is expected not only to increase the number of film productions in Jakarta but also to serve as a means of tourism promotion and provide an economic impact for the community.
Furthermore, through the Jakarta Film Commission under the Tourism and Creative Economy Agency, and the municipally-owned enterprise PT Jakarta Tourisindo (Jakarta Experience Board) through its Film Strategic Business Unit, the Filming in Jakarta service is believed to be a solution to support the ease of film production, both national and international.