Car Tax in Indonesia is the Highest in the World, Can Be 30 Times Higher
28 August 2025, 09:00 WIB
The Governor of Banten has just issued a regulation concerning motor vehicle tax amnesty in the province.
By Satrio Adhy
KatadataOTO – The Banten Provincial Government has issued a new regulation. The policy is related to an amnesty for PKB (Motor Vehicle Tax).
This relaxation is stipulated in Banten Governor Regulation Number 170 of 2025. It mentions the Exemption of Principal and/or sanctions for Motor Vehicle Tax.
“However many years the public is in arrears on their motor vehicle tax, it will be waived,” said Andra Soni, Governor of Banten, on the official bantenprov.go.id website, Saturday (29/03).
Andra stated that the amnesty is presented as a 2025 Eid gift for all people in the Banten region.
“On the condition that they pay the 2025 vehicle tax or the last (year's) tax,” he said,
He also asked the public to prepare themselves immediately to take advantage of the existing leniency.
Considering the Banten motor vehicle tax amnesty will begin after Eid 2025. More precisely, from April 10 to June 30, 2025.
“For now, the public should focus on fasting and welcoming Eid al-Fitr 1446 H. On April 10, they can then take advantage of the PKB amnesty momentum,” he said.
For your information, this relaxation is given to residents who own and/or control motor vehicles with the provision that they have not paid taxes from 2024 or earlier.
And for car or motorcycle owners who make payments for the 2025 to 2026 tax period.
The exemption of principal and sanctions for motor vehicle tax is excluded for people who are transferring their vehicle registration out of Banten Province.
In addition, Andra stated that the revenue from this amnesty will be allocated to the welfare of the community.
“Such as road infrastructure, so that we can make the roads in Banten Province even better. The community will be more comfortable on the roads, as well as the construction of village roads,” he affirmed.
As a reminder, some time ago Andra communicated with Dedi Mulyadi, the Governor of West Java.
In that conversation, Andra consulted on how to implement the motor vehicle tax amnesty.
“We are planning that, communicating with Kang Dedi's staff,” said Andra on his Instagram account @andrasoni12.
The Governor of Banten assessed that the policy already implemented by Dedi was very positive. And beneficial for both the government and the public.
He said that so far, motor vehicle tax arrears have only been recorded as a burden on regional financial books.
“Meanwhile, the public cannot pay off their taxes. We keep paying, it piles up,” Andra concluded.
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