Jakarta Provincial Government Cuts Hotel and Food Taxes

Jakarta Governor Pramono Anung has decided to cut the Specific Goods and Services Tax (PBJT) on hotel services as well as food and beverages.
This is stipulated in the Decree of the Governor of the Special Capital Region of Jakarta Number 722 of 2025, which took effect on August 25, 2025.
Under this regulation, the Jakarta Provincial Government decided to reduce PBJT on hotel services by 50% of the principal tax payable by taxpayers for the tax period of August–September 2025.
Meanwhile, for the tax period of October–December 2025, the Jakarta Provincial Government only provides a 20% reduction in hotel services tax from the amount that should be paid.
As for PBJT on food and beverages, the tax reduction is set at 20% for the tax period of August–December 2025.
Obligation to Report Business Transaction Data
However, to obtain this facility, business operators are required to submit a statement letter to the Jakarta Provincial Government.
Through this statement letter, entrepreneurs must agree to report business transaction data electronically, using the Electronic Transaction Preparation Agent (E-TRAPT) system.
After submitting the statement letter, the granting of the facility will be carried out ex officio. This means that taxpayers do not need to apply to the Jakarta Provincial Government.
In its consideration, the Jakarta Provincial Government stated that the provision of this facility aims to support economic growth and job creation.
According to the Jakarta Provincial Government, the economic condition in the capital has indeed been affected by the government’s budget efficiency policy. (ASP/KEN)