This comes in the wake of public protests, most notably in Pati District, Central Java.
"The Minister has issued a circular urging [regional governments] to re-evaluate," said Deputy Minister of Home Affairs, Bima Arya Sugiarto, said here, Wednesday, emphasizing the need for people-friendly policies.
According to Sugiarto, 104 regions have raised the PBB-P2 tax, with 20 of them increasing it by more than 100 percent.
Following the protests in Pati over a 250 percent tax increase, Home Affairs Minister Tito Karnavian issued a warning letter to the Pati district head, which led to a policy reversal.
Sugiarto stressed that a comprehensive evaluation process is necessary to ensure regional governments avoid policies that burden the public.
The ministry also plans to re-calculate potential fiscal revenues to align with the new tax policies.
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Translator: Fianda Sjofjan Rassat, Asri Mayang Sari
Editor: Aditya Eko Sigit Wicaksono
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