APINDO Central Sulawesi Urges Review of Property Tax Hike, Cites Investment Concerns
Thursday, 21 August 2025
PALU – The Central Sulawesi Provincial Board of the Indonesian Employers Association (DPP APINDO Sulteng) has raised concerns over the sharp increase in the Rural and Urban Land and Building Tax (PBB-P2) across various regions in Indonesia, including Central Sulawesi.
Wijaya Chandra, Chairman of DPP APINDO Sulteng, warned that the steep rise in PBB-P2 could place a heavy burden on businesses and potentially discourage investors from entering the region.
“We have received many complaints from business owners. Some reported that their PBB-P2 had risen multiple times compared to previous years. This is certainly very burdensome,” he said on Tuesday (August 20, 2025).
According to Wijaya, the heavy tax burden not only impacts existing businesses but could also hinder new investments. He noted that some potential investors were reconsidering their plans to invest in Central Sulawesi due to the high tax costs.
For this reason, APINDO Sulteng is urging local governments in Central Sulawesi to intervene and review the PBB-P2 hike. Wijaya cited examples from regions such as Cibinong, Pati, and Bone, which are currently reassessing similar increases in order to maintain a conducive business climate.
“Our hope is that the Central Sulawesi government can play an active role in influencing tax policy, both at the national and local levels,” Wijaya Chandra stated.
He suggested that any tax adjustments should be aligned with real economic growth. Such a review, he stressed, is essential to safeguard business competitiveness while ensuring the region remains attractive to investors. He also proposed that governments consider offering tax reduction programs for businesses that meet specific requirements.
“As long as the outcome benefits society and the environment, similar to what is practiced in many developed countries,” Wijaya concluded.
Source: radarpalu.jawapos.com