Governor of Jakarta Special Capital Region Regulation No. 193 Year 2016 dated 13 October 2016

100% EXEMPTION ON DUTY ON TRANSFER OF LAND AND BUILDING RIGHTS DUE TO SALE AND PURCHASE OR GRANTING THE FIRST RIGHT AND/OR 0% TAX IMPOSED ON DUTY ON TRANSFER OF LAND AND BUILDING RIGHTS DUE TO INHERITANCE OR GRANTS WITH MAXIMUM TAX OBJECT SALE VALUE OF RP 2 BILLIONS

 Governor delegate his authority to grant 100% exemption on duty on transfer of land and building rights (BPHTB) due to sale and purchase or granting the first rights and/or 0% tax imposed on transfer of land and building rights due to inheritance or grants with maximum tax object sale value of Rp 2 billions to individual taxpayer to service head or his appointed official.

Only individual taxpayer may obtain this tax facility with following condition:

1. For overdue BPHTB which has not been paid in fiscal year that application is submitted.
2. For one land and/or building object valid once in lifetime for each individual taxpayer
3. Indonesian citizen who domiciled in Jakarta at least in 2 consecutive years since issuance date in his ID card

Application for 100% exemption should be attached with following documents:

1. Statement consist of citizenship ID number (NIK), name and address of taxpayer, address of tax object and description of application
2. copy of ID card
3. copy of taxpayer registration number (NPWP)
4. a statement stated taxpayer never owned land and/or building due to sale and purchase or obtained new rights on land and/or building legalized by notary or land deed official (PPAT)
5. proxy letter if delegate to other person
6. calculation of BPHTB stated in local tax payment form (SSPD) of BPHTB
7. for sale and purchase transaction should be attached with original notary or PPAT deed on transfer of rights, copy of land certificate and copy of land and building tax annual tax return and its payment form.
8. For obtaining the first rights should be attached with statement of granting first rights from city land administration office, other written documents from government institution relating to conversion of land and/or building rights and copy of land and building tax annual tax return and its payment form.

Application for 0% tax imposement should be attached with following documents:

1. Statement consist of citizenship ID number (NIK), name and address of taxpayer, address of tax object and description of application
2. copy of ID card
3. copy of taxpayer registration number (NPWP)
4. a statement stated taxpayer never owned land and/or building due to inheritance or grants legalized by notary or PPAT
5. proxy letter if delegate to other person
6. calculation of BPHTB stated in local tax payment form (SSPD) of BPHTB
7. statement of inheritance or grants
8. original notary or PPAT deed on transfer of rights due to inheritance or grants
9. statement of granting rights due to inheritance from city land administration office
10. copy of land certificate
11. copy of land and building tax annual tax return and its payment form.

Application and all its attachments will be reviewed by service head or its official.
Incomplete documentation will be returned with description of incomplete documents.
Site visit may be conducted to verify validity with its corresponding documents.
When there is inconsistency with documentation, application will be denied.
When all documentation are valid and complete, service head will issue exemption letter and validate SSPD BPHTB. Service head must issue decision letter within 3 days after application letter was received, otherwise it will be considered approved.

Unpaid BPHTB before the effective date of this regulation may be granted exemption as long as all requirements under this regulation are met.

Should any evidence found within 5 years after exemption date which violated this regulation, exemption letter may be cancelled and BPHTB will be payable by issuing local tax underpayment assessment letter (SKPDKB).
Taxable base is tax object sale value on the year such information are found.

This regulation will be effective on its promulgation date.