DPRD Reminds Pramono Not To Relax Excessive Taxes Amid The Decreased APBD Due To DBH Cuts

The DKI Jakarta DPRD Building in Central Jakarta (Jakpus). (Diah-VOI)

JAKARTA - Chairman of the DKI Jakarta DPRD Khoirudin reminded that the regional tax relaxation policy implemented by the DKI Provincial Government this year should not be applied excessively.

Khoirudin assessed that with the decline in the DKI Regional Budget due to the cuts in transfer funds to regions which include profit-sharing funds (DBH) from the central government, the tax incentive policy in the future must be more rational and measurable.

"Of course the tax relaxation (defined) is rational, yes, without reducing the essence of income," Khoirudin told reporters, Sunday, November 2.

Khoirudin said that the provision of tax relaxation remains important as a form of attention to the community, but its implementation must be selective. The DKI Provincial Government is asked to ensure that this policy does not reduce the ability of regions to finance public services and priority programs.

"(The tax incentive policy) for certain communities will be relaxed. Others can also continue to stay," he said.

In addition, he encouraged the DKI Provincial Government to streamline the tax payment system to be more disciplined and efficient. Providing incentives for taxpayers who pay faster can be a positive step, while delays still need to be subject to strict sanctions.

"But the payment is effective, given incentives when the payment is accelerated, and so on. If it is delayed, fines will be imposed," said Khoirudin.

As is known, DKI Jakarta Governor Pramono Anung this year provided a number of tax incentives and relaxations in various sectors, the types of taxes that were given relaxation were Rural and Urban Land and Building Taxes (PBB-P2), Land and Building Rights Obtainment Customs (BPHTB), Motor Vehicle Tax (PKB), Motor Vehicle Transfer Fee (BBNKB), Specific Goods and Services Tax (PBJT) Arts and Entertainment, as well as billboard tax.

Pramono explained that the reason for providing tax incentives was to stimulate the market. In addition, Pramono also wants to make it easier for the community, especially the younger generation, to be able to buy a decent house and place to live to start their new life.

The DKI Provincial Government and the DKI Jakarta DPRD also had time to plan a regional budget (APBD) for 2026 with a nominal jumbo, which was IDR 95.35 trillion.

However, recently the Ministry of Finance cut the transfer fund of IDR 15 trillion to only IDR 11 trillion. This figure decreased by 59.47 percent compared to 2025 with a value of IDR 27.5 trillion. Therefore, next year's projected DKI APBD will have to be reduced to IDR 81.28 trillion.