Toyota Reveals Cause of Sales Decline in LCGC Segment
29 January 2026, 12:00 WIB
One of the items subject to 12 percent VAT this year is LCGC cars, such as Honda Brio and Agya.
By Satrio Adhy
KatadataOTO – The 12 percent VAT will be fully implemented starting February 1, 2025. A number of goods and services will be affected by the implementation of this policy.
One of them is LCGC (Low Cost Green Car) cars. This is stated in the Minister of Finance Regulation number 141/PMK.010/2021..
It explains the Determination of Motor Vehicle Types Subject to Sales Tax on Luxury Goods and the Procedures for Imposing, Granting, and Administering Exemptions and Refunds of Sales Tax on Luxury Goods.
“The group of taxable goods classified as luxury in the form of motor vehicles is subject to PPnBM (Sales Tax on Luxury Goods) at a rate of 15 percent with a tax base of 20 percent of the selling price of energy-efficient and affordable four-wheeled motor vehicles,” reads article 5.
Furthermore, the rule for LCGC cars being subject to the 12 percent VAT is stipulated in the Minister of Industry Regulation (Permenperin) number 36 of 2021.
Regarding low-carbon emission four-wheeled motor vehicles, enacted on December 31, 2021, it is stated that LCGC cars are subject to a three percent PPnBM.
Based on the two regulations above, the Toyota Calya and Agya, Daihatsu Sigra and Ayla, up to the Honda Brio Satya will be affected by the 12 percent VAT in 2025.
Therefore, automotive enthusiasts who intend to buy one of the products above must prepare more money or funds.
KatadataOTO has summarized the list of LCGC car prices for January 2025 from several official websites, here is the summary.
Related Articles
29 January 2026, 12:00 WIB
15 January 2026, 09:00 WIB
13 January 2026, 10:00 WIB
30 December 2025, 11:00 WIB
29 December 2025, 12:14 WIB
Latest
02 February 2026, 10:00 WIB
Sales are trailing competitors, and MG declined to elaborate on its sales target for 2026.
02 February 2026, 09:00 WIB
Chery hybrid cars offer more benefits to consumers in Indonesia, making them a popular choice.
02 February 2026, 08:00 WIB
The Police launched Operation Keselamatan Jaya 2026 to curb the number of accidents and traffic violations on the roads.
02 February 2026, 07:00 WIB
Yamaha is confident that the target set by AISI can be achieved this year, with several conditions.
01 February 2026, 17:17 WIB
Toyota FT 86, Vespa Corsa 125, and Toyota Alphard are three of Reza Arap's many vehicles.
01 February 2026, 15:00 WIB
Shell, BP AKR, and Vivo lowered fuel prices for the February 2026 period by varying amounts.
01 February 2026, 13:00 WIB
Toyota Motor Corporation is paying closer attention to its sales in Indonesia, which have significantly declined.
01 February 2026, 11:00 WIB
Toyota group sales break a new record and become the world's best-selling manufacturer in 2025, surpassing Volkswagen.