Indonesia's Tax Hike Debacle: Bone Regent Suspends PBB-P2 Plan After Resident Protest

3 weeks ago 13

August 20, 2025 | 04:06 pm

Student protest illustration. ANTARA

TEMPO.CO, Jakarta - The Bone Regency Government has postponed the decision to raise the Land and Building Tax for Rural and Urban Areas, also known as PBB-P2, after residents took to the streets to reject the policy.

The acting Secretary of Bone Regency, Andi Saharuddin, said the decision was made based on the regent's directive, the Ministry of Home Affairs, and public pressure.

"The leaders have told us to suspend adn review the PBB-P2 65% adjustment," Andi told reporters at the Bone Regent's office on Tuesday, August 19, 2025, evening.

Andi said existing payments will be adjusted to the previous applicable tax rate. He reassured residents and warned against being easily provoked by inauthentic information. "We must comply with and adhere to the central government's directives," said Andi.

The protest in Bone Regency was prompted by the Regent, Asman Sulaiman's decision to raise the tax rate by up to 300 percent. Asman's absence during the protest led to a frustrated croud and caucing a riot to erupt. 

The infuriated protesters attempted to force entry into the inner area of the Bone Regent's office, prompted a clash with the authorities. 

Until the evening, the police deployed tactical vehicles and began to disperse the crowd with water spray and tear gas shots. The crowd fled southwest, heading to the Bone State Islamic Institute (IAIN) campus area.

LBH (Legal Aid Insitute) Makassar mentioned that dozens of people-comprising students and local residents-were arrested by the police without access to legal assistance.

"Latest information saw that 16 people have been arrested by the police," wrote the Instagram account @lbh_makassar, as seen by Tempo on Wednesday, August 20, 2025.

Head of Public Relations of the South Sulawesi Regional Police, Commissioner Didik Supranoto, has not responded to Tempo's request for confirmation about the arrests sent through the WhatsApp messaging application.

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