- Indonesian government subsidizing VAT on certain residential housing purchases
- VAT rate on housing purchases in Indonesia is 11%
- Minister of Finance issued regulation to benefit from the incentive
- VAT subsidy available from 1 November 2023 to 31 December 2024
- 100% subsidy for home sales completed from 1 November 2023 to 30 June 2024, then drops to 50%
- Requirements to benefit from the incentive include maximum sales price of IDR 5 billion, completion of purchase between 1 November 2023 and 31 December 2024, direct transfer from developer to individual purchaser, and no transfer within one year
- VAT incentive available on remaining VAT payable after 1 November 2023 for buyers who made down payment or instalment payment before that date
- Property can be handed over by developer to purchaser by 31 December 2024.
Source: bdo.global
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
