Extended Tax Incentives, Developers Intensify Promotion

Developers have begun to respond to the extension of the Government-Born Value Added Tax stimulus in the housing sector until 30 September 2022
by intensifying promotions and facilitating payment methods for consumers. The housing offer program is juxtaposed with tax incentives and home ownership loans. Director of Sinar Mas Land, Herry Hendarta, said that the property sector continues to move up, either to fulfill basic needs as a residence or as an investment instrument. The government has also extended the stimulus for the Government Borne Value Added Tax (PPN DTP) to encourage property growth. In addition, there are also incentives for housing loans, such as easing the loan-to-value (LTV) ratio of purchased homes and a reduction in the benchmark interest rate from Bank Indonesia. This year, Sinar Mas Land launched the “Double Dream” sales promotion program which, among other things, provides a 22 percent price reduction and 6 percent cash back, down payment subsidies, and VAT incentives. The products offered include plots, houses, apartments, and shop houses for unit prices ranging from Rp. 500 million to Rp. 8 billion, spread across Batam, Balikpapan, Surabaya, and Jabodetabek. The company targets revenue of Rp 1.5 trillion from the Double Dream program or 19.48 percent of this year's total sales target of Rp 7.7 trillion. "This program (Double Dream) can also be combined with a number of government policies in the property sector, one of which is VAT DTP," said Herry.

|•SOURCE•| Articles :INDUSTRY | Image :EGE RUS |

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