Khairunnisa Rahinaningtyas
16/397035/EK/20991
Meeting 8 - Chapter 7 & 8
Property tax (Land and Building Tax) & Property
Acquisition Tax
Law basis: Law No. 12 of 1985 (amended in 1994)
Land and Building Tax are; provide easiness and
simplicity, the availability of legal certainty,
understandable and fair, avoid double taxation. The
definition of Land is, the earth surface, and everything
below it. Earth surface consisting of soil, inland
waters (swamp, ponds, waters) also the sea are of
Indonesia. Building is a technical construction that is
planted or attach permanently on the land or waters
(swimming pool, park, etc). Land & building Tax
Imposition Base, Tax Object Sales Value (NJOP) is
the average price that is obtained from the economic
transaction, if there is not economic transaction,
NJOP is determined from the comparison of price and
other object that is a kind, or new acquisition value,
or replacement of NJOP.
Tax tariff that is charged upon the tax object is in the
amount of 0.5%. Tax bases are; NJOP, the amount of
NJOP is set every 3 years by Head Office Region of
Directorate General of Taxation in the name of
Ministry of Finance considering local government’s
opinion, basis of tax calculation is set as low as
possible of 20% and as high as 100% from NJOP, the
amount of percentage is being set according to
government regulation (PP) considering the condition
of national economic.
Land and Building Tax = Tax Tariff x Taxable Sales
Value (NJKP)
= 0.5% x [NJKP Percentage x (NJOP – NJOPTKP)]
Things determined tax payable; tax year is from 1 Jan
– 31 Dec, tax payable is according to the condition of
tax object on the 1st of January, are of tax payable
(Jakarta, other area such as city or district).
According to article 33 paragraph 3 UUD 1945, earth,
water and natural wealth that is contained in it,
controlled by the state and used for the prosperity of
the society. Duty on Land and Building Right
Acquisition (BPHTB) is about those who obtained
right acquisition on land and building, and have to
submit part of economic value that is obtained to the
state through payment of taxes. According to Law no.
28 of 2009, the authority to collect BPHTB is
assigned to local government. Tax tariffs is in the
amount of 5%.
BPHTB = [Acquisition Cost of Tax Object (NPOP) x
NPOPTKP] x 5%
The law basis for land and building rights Law No. 21
of 1997 and Law No. 28 of 2007. Land and building
rights is in the scope of the self-assessment system, in
which the taxpayers calculate and pay his tax by
himself. The tax rate imposed is 5% out of the value
of acquisition of a taxable object (NPOKP). The non-
taxable value of acquisition (NPOKP) is set at the
maximum of Rp60.000.000, and minimum of
Rp300.000.000.
There are certain exceptions, which are for land title
registrar/notary public, head of office in charge of
state auction service, and head of defense office.