Indonesia MOF Issues Regulation on VAT Paid by Government on Residential Houses, Apartments

The Indonesian Ministry of Finance Feb. 4 issued Ministerial Regulation No. 13/2025, on VAT paid by the government on deliveries of qualifying residential houses and apartment units, for fiscal year 2025. The regulation includes measures: 1) applying to transfers to Indonesian or foreign citizens of qualifying new residential houses, buildings with residential and commercial areas, and apartment units, that are ready for occupancy and have a maximum selling price of 5 billion Indonesian rupiahs (US$305,477); 2) establishing the government VAT payment rates of 100 percent for deliveries made from Jan. 1 to June 30, and 50 percent for deliveries made ...