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The government has prepared a 0 percent sales tax on luxury goods (PPnBM) for new cars starting in March 2021(PPnBM cars). This 0 percent PPnBM discount uses a government-borne scheme (DTP), with a 100 percent discount in the first month. There are some vehicle Criteria that eligible for 0% PPnBM exemption which is cars with less than 1500cc, two-wheel drive (4x2) including sedans, and cars with local component reaches 70%. PPnBM will also be 0% for Electric Vehicle in the end of 2021. The government will implement this policy at the end of 2021 around October or November. The government assesses that the right time to buy an EV is the end of the year. According to Article 36 from Government Regulation of Republic of Indonesia Number 73 2019, Tax Imposition Base for Electric Vehicle is O% of the Selling Price.


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