Realizing 3 Million Houses Per Year, BTN Proposes That Prabowo Remove Housing VAT

President Director of BTN Nixon LP Napitupulu. (Photo: Doc. Antara)

JAKARTA - President Director of BTN, Nixon LP Napitupulu admitted that he had proposed to the Prabowo Housing Task Force to abolish the Value Added Tax (VAT) for housing, and to exempt Customs for Acquiring Land and Building Rights.

According to Nixon, with the elimination of VAT, the purchase price of the house will be more affordable. So that the target of 3 million houses per year for the Prabowo government can be achieved.

"What causes people to not be able to buy a house today is not a DP. Because the DP is already 0 and 1 percent, it's been a long time. But in fact it's still difficult. Why? So there was a VAT fee, there was a BPHTB that couldn't use credit, it had to be cash. There is more such thing as insurance costs and that in a total of 20 to 21 percent, "said Nixon to reporters written Wednesday, October 16.

Nixon assessed that if VAT and BPHTB were removed, the government would not lack state revenue. This is because the number of people paying land and building taxes (PBB) will actually increase.

In my opinion, the VAT that is missing does not mean that the state has lost income. No, just be patient. Later every year at the UN pay. So the income is behind, don't take everything up front. That's the idea," he said.

People will be able to pay all of the PBB. If the house adds 3 million, there are 3 million, they will pay the PBB. So don't take a snapshot in front of it. But I think this sustains the United Nations every year, it's a lot of VAT. So the idea is like that," he continued.

As previously reported, President-elect Prabowo Subianto plans to build three million houses per year during his reign. Where development is divided into villages to urban areas. In fact, Prabowo has also formed a Housing Task Force.

President Director of BTN, Nixon LP Napitupulu admitted that he had met with the Housing Task Force to discuss the target. He said the plan to build 3 million houses was the largest quota in the village, which was 2 million units per year.

Then, continued Nixon, the rest will be built for subsidized housing programs for Low Income Communities (MBR) around urban areas, and in urban areas.

"Yes, FLPP. From Bekasi, Cikarang, Karawang to Purwakarta or if you go there to Serang, Cilegon, and so on," Nixon told reporters written Wednesday, October 16.

Nixon said that for houses in urban areas, it is targeted for people with income ranging from Rp. 12 million to Rp. 15 million per month.

"So these people work in urban areas, like friends who don't have houses near urban areas, it's impossible in the city. Because the price is not affordable," he explained.