Governor Khofifah Announces Vehicle Tax Relief for August 2026
Surabaya, East Java - East Java Governor Khoflag Indar Parawansa has granted relief for vehicle tax payments during the period of 1–31 August 2026 for citizens, aiming to increase taxpayer compliance through East Java Governor Decree Number 100.3.3.1/482/013/2026.
“The spirit of independence must be felt by all members of society. Therefore, during the momentum of the 81st Anniversary of the Republic of Indonesia, the East Java Provincial Government is once again presenting a regional tax exemption policy as a form of support for the community and an effort to strengthen regional fiscal independence,” she stated in Surabaya, East Java, on Saturday.
The incentives provided include the waiver of administrative sanctions for late payments of Motor Vehicle Tax (PKB) and Motor Vehicle Title Transfer Fee (BBNKB), the exemption of progressive PKB, and a 20 per cent reduction on PKB principal arrears from 2025 and previous years for motorcycles owned by labourers, provided the PKB principal does not exceed Rp500,000.
The East Java Provincial Government is also waiving the PKB principal arrears from 2025 and previous years for individuals registered in the National Social and Economic Single Data (DTSEN), online motorcycle taxi drivers, and owners of three-wheeled vehicles with a PKB principal of up to Rp500,000.
Additionally, fines for the Mandatory Road Traffic Accident Fund Contribution (SWDKLLJ) for arrears from previous years will be waived, while fines for the current year remain applicable according to regulations.
Khofifah emphasised that the public will still benefit from the base tax rates, with PKB set at 24.7 per cent and BBNKB at 37.25 per cent, ensuring that there are no increases to these rates in 2026.
“This policy provides dual benefits. On one hand, the public receives relief, thereby reducing their economic burden. On the other hand, the government gains stronger fiscal space because tax compliance increases and vehicle data becomes more orderly and accurate, allowing development to continue to improve public welfare,” she said.
Based on projections from the East Java Regional Revenue Agency (Bapenda), the regional tax exemption programme during August 2026 is expected to be utilised by 962,981 tax objects, with a total exemption value of approximately Rp17.25 billion.
Despite providing these incentives, the policy is projected to still drive regional revenue by Rp297.46 billion due to increased public participation in tax payments.
Khofifah encouraged the public to take advantage of the programme through all Samsat Joint Offices across East Java as well as digital payment channels that collaborate with the Provincial Government.
She emphasised that tax compliance is a part of the collective effort to build the region by financing the development of roads, education, health, transport, and other public services.