Jokowi Gives Incentives To Property Developers At IKN, Here Are The Details

President Jokowi (left) together with the Minister of PUPR Basuki Hadimuljono reviewed the IKN toll road project which has reached 55 percent progress. (Photo: ANTARA)

JAKARTA - President Joko Widodo (Jokowi) issued the latest regulations governing the provision of incentives for developers who realize the obligation to provide balanced housing in the Nusantara State Capital (IKN) area, East Kalimantan.

The decision is as stipulated in Government Regulation (PP) Number 29 of 2024 concerning amendments to Government Regulation Number 12 of 2023 concerning the Provision of Business Licensing, Ease of Doing Business, and Investment Facilities for Business Actors at IKN which was signed on Monday, August 12, 2024.

In the regulation, the rules for providing incentives for property developers are contained in article 25 which are added with 3 new paragraphs in regulating types to incentive mechanisms.

"Business actors as referred to in paragraph 1 (business actors who fulfill balanced residential obligations are given incentives", wrote Article 25 paragraph 7, quoted Thursday, August 15.

At least 8 types of incentives will be obtained by developers.

First, incentives in the form of housing development program assistance.

Second, the provision of tax breaks for simple homes in accordance with the provisions of the legislation.

Third, public infrastructure, facilities and utilities assistance. Fourth, providing easy land acquisition for housing development and development.

Fifth, accessibility support for balanced residential housing locations in the Nusantara Capital area.

Sixth, the exemption of the rights to land and building duties (BPHTB).

Seventh, land and building tax relief (PBB) with a certain period of time.

Finally, awarding the housing sector in balanced housing.

As for paragraph 8, it is explained that the release of BPHTB and UN relief will be given in accordance with a certain amount of time.

Later, the release of BPHTB and UN relief will be submitted directly by the Head of the Archipelago Capital Authority (OIKN) to be determined by the Regent of North Penajam Paser or the Regent of Kutai Kartanegara in accordance with his area until the stipulation of the Regional Government. Special Capital of the Archipelago.