Coal Export Tax Not Applicable as of January 1, 2026, Purbaya Reveals Regulations are Still Being Prepared

Minister of Finance Purbaya Yudhi Sadewa. (Photo: Aris Nurjani/VOI)

JAKARTA - Minister of Finance Purbaya Yudhi Sadewa said that the implementation of exit taxes on coal exports could not be effective as of January 1, 2026.

He emphasized that the export tax scheme for coal exports was not final because the regulation in the form of a Presidential Regulation (Perpres) was still in the drafting stage, while technical provisions such as tariff rates would be further regulated through the Minister of Finance Regulation (PMK).

Purbaya said that in the interim technical discussion, the proposed tariff rate was in the range of 5 percent to 11 percent and the tariff would be implemented gradually based on the reference coal price.

"That level is still under discussion. If I'm not mistaken, it is proposed depending on the price of the stone, there is 5 percent, there is 8 percent, there is 11 percent, depending on the level of the price of the stone," he said in a press conference, Wednesday, December 31.

He admitted that there was a rejection from some coal entrepreneurs and that so far the state has actually suffered losses from the sector due to the tax restitution mechanism.

"He pays taxes, pays this, pays PPH, pays this, pays this, royalties of all kinds. But it was withdrawn in restitution, I got it negative. So I subsidize coal companies that are already like that," he said.

Purbaya emphasized that fiscal policy must provide balanced benefits for the state, business actors, and the community.

He added that the funds collected from the coal sector will be allocated for financing public development and welfare programs.

"We are looking for the optimal for everyone, for entrepreneurs and for the country, for the community as well. The tax is not for me to eat, but just now eating, right? We use it for programs that can enrich the community. For example, like disasters in Aceh, where is the money from? Where is the education program? That's about it," he said.

In the near future, he continued, the policy will be discussed with President Prabowo.

Purbaya also opened the possibility that the rules would be applied retroactively.

"So, I can't be sure how much it fits because some of them are still protesting. We may have to adjust it in the future. It can also be retrograde," he said.