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Indonesia Extends VAT Incentives for Real Estate and Construction Sectors

  • Policy Extension: Indonesia extended its VAT exemption for property purchases until 2026, covering new homes up to 2 billion IDR, with partial exemption available for homes valued between 2–5 billion IDR.

  • Targeted Incentive: The policy aims to stimulate housing demand and support construction and real estate by reducing the VAT burden, making property purchases more accessible amid economic uncertainty and slower global growth.

  • Economic Strategy: Announced by the Coordinating Ministry for Economic Affairs, the VAT relief is part of Indonesia’s 2025–2026 economic stimulus package to strengthen domestic industries and sustain market resilience.

Source: en.vietnamplus.vn



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