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In response to several issues facing Badung District, especially regarding the plan to boost regional revenues and the sales value of taxable objects (NJOP, or Nilai Jual Objek Pajak), Commission III of the Regional House of Representatives (DPRD) held a coordination meeting with Badung’s Regional Revenue Agency (Bapenda) on Tuesday (25/04).

In the meeting, members of Commission III questioned the readiness of Bapenda in executing the government’s plan to boost local revenues in 2018. Putu Alit Yandinata, head of Badung’s Commission III, stated that the meeting was held to maintain communication between the legislative and executive body, who are in charge of budgeting, so there will be no differing information. “Moreover, there are issues related to the increase of the NJOP up to 1000 percent,” Yandinata said, as quoted by Bisnis Bali. “We need to know the root of the problem so that we can properly explain it to the public in regard to any increase.”

He sees that the increase is normal because the price of land in South Kuta (which the island collectively has used as a base price for years. Ed) has become redundant. “You couldn’t possibly find a piece of land worth four million there—they have all increased. This issue will also be dealt with by BPK (Indonesia’s Audit Board) and KPK (Corruption Eradication Commission) because the government has not increased land tax in the last couple of years.”

A similar opinion was sounded off by Made Sutama, Head of Badung’s Revenue Agency. He said that the meeting was important because they are able to find a solution together. “I can explain about the increase of the NJOP—it’s actually not an increase but an adjustment,” said Sutama. “From data gathered by BPK and KPK, we were asked to adjust the numbers. As a result of that, we will be giving incentives to farmers, which is to free them from paying property tax [or PBB], but commercialized land will receive a tax increase.”

Regarding the high price of land in South Kuta, he said that currently there are is no land worth IDR4million per are (100 m2) any more. “Previously we used 4 million per are in the last NJOP, but that number isn’t relevant any more when we were out there on the field. Now it has to be adjusted.”