Government Removes BPHTB And PBG's Retribution To Pursue 3 Million Houses For MBR, Minister Of Home Affairs: No Conspiracy

JAKARTA - The government has decided to abolish the levy of Building Building Approval (PBG) and Building Rights Obtainment Customs (BPHTB) for Low-Income Communities (MBR).

This step was taken to achieve the program of three million houses made by President Prabowo Subianto.

Minister of Home Affairs (Mendagri) Tito Karnavian said the abolition of the tax would be in the form of a Regional Head Regulation regarding the exemption of BPHTB and Building Approval (PBG).

"Just the three of us (Minister of Public Works, Minister of PKP and Minister of Home Affairs) signed a Joint Decree (SKB), essentially the SKB to accelerate the construction program of 3 million houses," Tito said at a press conference at the Ministry of Home Affairs (Kemendagri) Building, Jakarta, Monday, November 25.

"We agree that BPHTB and PBG for low-income people are abolished. Then, to speed up the approval of the building out within 10 days," he continued.

Tito also warned local governments (Pemda) not to abuse the decision to cooperate with developers.

He emphasized that this regulation was decided for MBR, not middle or high income.

"It must be studied properly. Do not let (there) be collusion with developers, it is home to low-income people, not middle-sized or high-income. Then it seems as if they have low-income so that their duties are zero, as a result, PAD will decrease," he said.

The decision was marked by the signing of a decision at the Ministry of Home Affairs.

Three ministers agreed on the regulation, namely the Minister of Home Affairs (Mendagri) Tito Karnavian, Minister of Public Works (PU) Dody and Minister of Housing and Settlement Areas (PKP) Maruarar Sirait.