Indonesian Political, Business & Finance News

Eid al-Fitr 2026: West Java Provincial Government Offers Vehicle Tax Discount

| Source: TEMPO_ID_BISNIS Translated from Indonesian | Regulation

The West Java provincial government is offering discounts to residents who pay their motor vehicle taxes during the Eid al-Fitr 2026 holiday period. Annual motor vehicle tax payments for two-wheeled and four-wheeled vehicles from 18 March 2026 to 24 March 2026 will receive a 10 per cent reduction.

West Java Governor Dedi Mulyadi stated that the 10 per cent discount offer for tax payments during that period is specifically for online motor vehicle tax payments. “Rather than spending the money on Eid, it’s better to pay the tax and get a 10 per cent discount,” he said in a press release from the West Java Public Relations Office on Wednesday, 18 March 2026.

Online payment methods can be made through various services, including KiosK Samsat (ATM Samsat) at all Samsat offices in West Java, as well as the Sapawarga app and Signal (the national digital Samsat).

The West Java provincial government is keen to provide incentives to boost APBD revenue from motor vehicle taxes. Earlier this year, for example, the provincial government announced incentives for Motor Vehicle Tax (PKB) and Motor Vehicle Ownership Transfer Tax (BBNKB) specifically for yellow-plated vehicles, namely public transport for people and goods, reduced under certain conditions.

Head of the West Java Regional Revenue Agency Asep Supriatna detailed them. These include public passenger transport vehicles reduced from 60 per cent to 30 per cent of the PKB assessment base. Meanwhile, for public goods transport vehicles, it is reduced from 100 per cent to 70 per cent of the PKB assessment base.

Incentives also apply to BBNKB I (new vehicles). For public passenger transport, it is charged at 20 per cent of the BBNKB assessment base, while for public goods transport, 60 per cent of the BBNKB assessment base.

“Thus, both PKB and BBNKB I receive reductions in the tax payable according to the applicable provisions starting from early 2026,” said Asep, quoted from a press release from the West Java Public Relations Office on Saturday, 28 February 2026.

There are several requirements to receive these incentives. Among them, the managers of public passenger or goods transport must be Indonesian legal entities, such as Limited Liability Companies (PT) or Cooperatives. Managers must also hold permits for operating public passenger or goods transport.

For public passenger transport specifically, they must have route permits or permits for public passenger transport not on routes. “Yellow-plated vehicles in the name of CVs, firms, or individuals do not receive incentives according to applicable regulations,” said Asep.

The West Java Revenue Agency this year has a 2026 Original Regional Revenue (PAD) target of Rp 19.519 trillion. Motor vehicle tax is the largest source of PAD revenue. The West Java Provincial Government has set a target for motor vehicle tax revenue of Rp 6.2 trillion and BBNKB of Rp 3.3 trillion for 2026.

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