Jokowi Approves Extended Car PPnBM Discounts, Here’s the Scheme

Jakarta

President Joko Widodo (Jokowi) has approved the extension of the Sales Tax on Government-Born Luxury Goods (PPnBM DTP) program. This new car PPnBM discount targets cars with a price tag of IDR 250 million and below.

Coordinating Minister for the Economy Airlangga Hartarto said that the cars that would get the PPnBM discount were cars in the LCGC class or cars under 200 million. LCGC, which under the emission-based tax scheme is subject to 3% PPnBM, will be exempt from tax.

“This is specifically for the automotive sector with sales prices below Rp 200 million or what we know as LCGC, in the first quarter (January-March) 0% facilities are given, meaning (PPnBM) 3% is borne by the government,” said Airlangga in a press statement after the Ratas. PPKM Evaluation Sunday (16/01).

Furthermore, in the second quarter (April-June), the government bears 2% PPnBM LCGC, meaning that consumers only need to pay 1% PPnBM LCGC. Then in the third quarter (July-September), the PPnBM discount for LCGC is 1%, consumers just have to pay 2% tax. Finally, in the fourth quarter (October-December), there is no longer PPnBM discount for LCGC. This means that consumers will be charged normal prices without PPnBM discounts in the last three months of 2022.

According to Airlangga, the government will also provide PPnBM discounts for cars that cost between Rp 200-250 million. The cars that are given a tax discount are models that are subject to a 15% PPnBM rate.

As is known, since October 16, 2021, the government has implemented a new PPnBM scheme based on emissions. For conventional vehicles, the lowest PPnBM is gasoline cars up to 3,000 cc with fuel consumption of more than 15.5 km/liter and CO2 emissions of less than 150 g/km or diesel cars up to 3,000 cc with fuel consumption of more than 17.5 km/liter and CO2 emissions of less than 150 g/km. This type of car is subject to 15% PPnBM.

This car will get a PPnBM discount in 2022. Airlangga said that in the first quarter of 2022 (January-March), this type of car was given a 50 percent PPnBM discount. “So people pay 7.5%,” said Airlangga.

However, the PPnBM discount for this type of car is only given in the first quarter of 2022. Airlangga emphasized that in the second quarter of 2022 consumers have to pay in full the PPnBM of 15%.

Watch Videos “Note! This is a list of 11 cars that can be permanently free of PPnBM
[Gambas:Video 20detik]
(rgr / din)

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