Honda Awaits Several Regions to Extend Local Tax Relief

KatadataOTO – The relaxation of the surcharge for PKB (Motor Vehicle Tax) and BBNKB (Motor Vehicle Title Transfer Fee) in several regions will soon end. For example, in Central Java and West Java.

This has certainly drawn many responses from various parties. Including from one of the manufacturers, namely AHM (Astra Honda Motor).

According to the manufacturer with the flapping wing logo, if the BBNKB surcharge and PKB relaxation ends, it will impact the selling price of new motorcycles.

Therefore, they are waiting to see whether the Provincial Governments of West Java and Central Java will grant an extension or not.

Photo : PDRD Module: Regional Tax Surcharge

“We are waiting for each governor in those provinces to have a policy according to their needs,” said Octavianus Dwi, Marketing Director of AHM in Sunter, North Jakarta, some time ago.

However, Octa explained that several regions have already provided certainty regarding the PKB surcharge and BBNKB relaxation.

For instance, the West Java Provincial Government plans to once again provide leniency for new motorcycle buyers.

“From what I’ve heard, some will keep (continue to offer the relaxation). But a number of provinces have already informed that there will be an increase, so we will adjust,” Octa continued.

He stated that if the PKB and BBNKB surcharge relaxation ends, they will adjust the prices of new Honda motorcycles.

With a price range from Rp 700 thousand to Rp 1 million. However, the price increase depends on the model and the region.

“Again, the increase will not be at the maximum for all. Each province has a policy that considers consumer needs,” Octa emphasized.

AISI Asks for Surcharge Relaxation to be Continued

For your information, AISI (the Indonesian Motorcycle Industry Association) previously requested that the PKB and BBNKB surcharge relaxation be continued.

To that end, they claim to be continuously coordinating with relevant agencies to find a way out of this challenge.

Photo : Courtesy

“We need to discuss this with them, because if sales decline, it will affect the industry. Consequently, the tax revenue received by the regional government will also decrease,” said Sigit Kumala, Head of the Commercial Division at AISI, to KatadataOTO on a separate occasion.

He also has several suggestions for regional governments when the PKB and BBNKB surcharge relaxation in their areas ends.

“At most, postpone (the surcharge implementation) or have a gradual increase. For now, those are the two solutions,” Sigit concluded.