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Central Java Motor Vehicle Tax Revenue Realization Trails Target Amid Economic Headwinds
Central Java's motor vehicle tax revenue realization reached 56.56 percent of its target by September 2026. While new name transfer fees hit 64 percent of their goal, economic and political conditions are cited as potential hindrances to overall target achievement. Unpaid tax receivables of Rp2.4 trillion remain a challenge.
The Central Java Regional Revenue Agency (Bapenda) has recorded that the realization of motor vehicle tax revenue as of September 2026 has only reached 56.56 percent of its target. Muhammad Masrofi, Head of Bapenda Central Java, stated that the revenue from motor vehicle taxes amounted to Rp. 2.47 trillion against a target of Rp. 4.3 trillion. Revenue from the new motor vehicle name transfer fee specifically reached 64 percent of its target of Rp. 2.1 trillion. Overall, the realization of original regional revenue (PAD) as of September reached 62.90 percent of the target of Rp. 15.7 trillion. Masrofi expressed determination to strive for the target in the remaining four months, but acknowledged that "the current economic and political conditions will certainly have an impact on achieving the target." Outstanding motor vehicle tax receivables from 2025 still amount to Rp2.4 trillion. In an effort to boost motor vehicle tax revenue, the Central Java Provincial Government has shifted its paradigm from a sanction system, which has become somewhat stagnant, to a reward system aimed at increasing public enthusiasm for paying taxes.
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