DKI Jakarta Provincial Government Continues PBB-P2 Incentives for 2026, Easing Taxpayer Burden
The DKI Jakarta Provincial Government is continuing its policy of incentives for Rural and Urban Land and Building Tax (PBB-P2) in 2026. This policy is established through the Governor of DKI Jakarta’s Decree No. 339 of 2026 on the Rural and Urban Land and Building Tax Policy for 2026, which takes effect from 1 April 2026.
Through this policy, the DKI Jakarta Provincial Government provides five forms of local tax incentives to help ease the burden on taxpayers while maintaining tax fairness amid the economic pressures still felt by the public. First, Exemption of PBB-P2 Principal.
The public can obtain a 100 per cent PBB-P2 exemption for the 2026 Tax Year with the conditions that the property is a house with a maximum NJOP of Rp2 billion or an apartment with a maximum NJOP of Rp650 million; the taxpayer is an individual; the NIK has been validated in the Online Tax system; and if owning more than one tax object, the 100 per cent exemption applies only to one tax object.
Second, Reduction of PBB-P2 Principal by Position. This incentive is granted automatically without application by the taxpayer, consisting of: a 50 per cent reduction from the PBB-P2 payable for the 2026 Tax Year for taxpayers recorded as zero rupiah on the 2025 Tax Notice; and a reduction in the form of a maximum increase cap of 5 per cent compared to the 2025 Tax Year, except for tax objects that have undergone changes.
This policy serves as protection against potential surges in PBB-P2 values that taxpayers must pay in 2026. Third, Reduction of PBB-P2 Principal Upon Application.
The DKI Jakarta Provincial Government also provides a reduction of up to 75 per cent on the PBB-P2 principal upon application. This facility can be granted to direct heirs one degree below: veterans, independence pioneers, recipients of national hero titles, recipients of honorary stars, former Presidents and Vice Presidents of the Republic of Indonesia, and former Governors and Deputy Governors of DKI Jakarta.
With the conditions that the relevant state figure has passed away; the tax object is a house, apartment, or vacant land up to 1,000 square metres; the Tax Notice applied for has not been paid; and one decision letter establishing the state figure can only be used for one application.
Fourth, PBB-P2 Principal Relief. The DKI Jakarta Provincial Government also provides PBB-P2 principal relief in the form of payment discounts. For the 2026 Tax Year PBB, relief is given with the conditions of 10 per cent for payments in the period 1 April–31 May 2026; 7.5 per cent for payments in the period 1 June–31 July 2026; and 5 per cent for payments in the period 1 August–30 September 2026.
Meanwhile, for PBB arrears from the 2021 to 2025 Tax Years, relief of 5 per cent is given for payments in the period 1 April–31 December 2026. Fifth, Exemption from Administrative Sanctions. This incentive includes exemption from instalment interest sanctions for taxpayers making PBB-P2 instalment payments in the period 1 April–31 December 2026; and exemption from administrative sanctions in the form of late payment interest for PBB from the 2021 to 2025 Tax Years paid in the same period.
DKI Jakarta Governor Pramono Anung stated that the 2026 PBB-P2 policy is a form of the local government’s commitment to providing ease and tax justice for the community. Pramono emphasised that this 2026 PBB-P2 policy is a tangible form of the DKI Jakarta Provincial Government’s commitment to providing ease and tax justice for all taxpayers.
“We invite the public to make the best use of these facilities and to fulfil their tax obligations on time for the sake of sustainable Jakarta development,” said Pramono.
The DKI Jakarta Provincial Government considers this policy important amid ongoing global economic pressures that impact purchasing power and fiscal capacity across all levels of society. Therefore, the provision of exemptions, reductions, and relief on PBB-P2 principal is expected to ease the burden on the public, particularly owners of properties with limited NJOP values.
Through this policy, the DKI Jakarta Provincial Government also hopes that public participation in fulfilling local tax obligations will continue to increase as a joint contribution to supporting fair and sustainable city development. For further information, the public can access the official website of the DKI Jakarta Regional Tax and Retribution Agency or contact the local tax information service via the call centre 1500-177.