Land and building

tax
"Land and Building Tax (abbreviated as PBB) is a levy that must
be paid for the presence of land and buildings that provide
benefits and socio-economic status for individuals or entities
that have rights to them or benefit from them. As Land and
Building Tax is material in nature, the tariff is determined based
on the size and condition of the land or buildings.
• Land and Building Tax (PBB) Objects:
Land objects in Land and Building Tax include:
• Rice fields, Fields, Gardens, Land, Yard, Mines
While building objects in Land and Building Tax include:
• • Residential houses,Business buildings, Multi-story buildings,
Shopping centers, Luxurious fences
Not Included in Land and Building Tax (PBB) Objects:
• Actually, not all land and buildings can be objects in Land and Building
Tax. There are several objects that are not included in Land and
Building Tax, based on their benefits and uses, such as:
• Used for public interests in the following fields:
Social,Worship,Health,Culture,Education,History
• Used for the preservation of flora and fauna, such as:
Nature reserves,Protected forests,National parks
• Used for the interests of the state or international organizations, for
example:
• - Consulates
• - Embassies
• Land and Building Tax Subjects:
• According to Article 4 of Law No. 12 of 1985 and Law No. 12 of
1994 regarding Land and Building Tax, subjects who must pay
Land and Building Tax are individuals or entities/organizations
that have rights or benefit from land or buildings. The tax-
paying subjects, according to the Land and Building Tax Law,
are required to pay the tax promptly after receiving the Notice
of Tax Due (SPPT), Tax Assessment Letter (SKP), and Tax Bill
(STP) from the Land and Building Tax Service Office or
delivered through the Regional Government. The payment
locations are specified in the SPPT, namely Perception Banks,
Post Offices, or Giro.
• Tax Tariff Amount:
• As stated in Article 5 of Law No. 12 of 1985 and Law No. 12 of
1994 concerning Land and Building Tax, the tax rate imposed
on tax objects is 0.5%.
• The formula for calculating Land and Building Tax (PBB) is as
follows:
• NJOP = (NJOP Land = land area x land value) + (NJOP building =
building area x building value).
• NJOPTKP = Rp 12,000,000
• NJOP for PBB calculation = NJOP - NJOPTKP
• NJKP = 40% of NJOP or 20% of NJOP for PBB calculation
• Due PBB = 0.1% x NJKP (the amount of PBB to be paid
annually)
• Example:
To calculate the Land and Building Tax (Pajak Bumi dan Bangunan or PBB)
in Indonesia, you need to follow these steps. Using the given example:
Calculate NJOP (Nilai Jual Objek Pajak):
Land Value: 90 m2×Rp 702,000=Rp 63,180,000
Building Value: 36×Rp 595,000=Rp 21,420,000
Total NJOP: Rp 63,180,000+Rp 21,420,000=Rp 84,600,000
NJOP for PBB calculation: Rp 84,600,000−Rp 8,000,000=Rp 76,600,000
Calculate NJKP (Nilai Jual Kena Pajak):
20%×Rp 76,600,000=Rp 15,320,000
Calculate PBB (Pajak Bumi dan Bangunan) owed:
0.1%×Rp 15,320,000=Rp 1.532000
So, the Land and Building Tax (PBB) owed for the property in this example
would be Rp 15,320.