Bengkulu Launches Vehicle Tax Amnesty to Boost Revenue and Fund Road Projects

The Provincial Government of Bengkulu, Indonesia, has officially rolled out a significant vehicle tax amnesty program, marking what Governor Helmi Hasan calls the "final installment" of such initiatives. Launched on May 1, 2026, this program is a crucial, large-scale effort designed to significantly increase the region's Original Revenue (Pendapatan Asli Daerah - PAD) and accelerate the development of vital road infrastructure across the province. Governor Hasan emphasized that consistent tax compliance is the cornerstone of achieving smooth roads throughout Bengkulu, drawing a direct line between the taxes paid by citizens and the tangible improvements in public facilities they will experience.

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To realize good roads, we are very dependent on the participation and awareness of the community. One of them is compliance in paying taxes. This is the last installment of amnesty, after this we start from zero to build a culture of tax compliance.

This tax amnesty is particularly critical given the substantial tax arrears reported by Bengkulu's Regional Revenue Agency (Bapenda). The data reveals a staggering Rp 770 billion in outstanding vehicle taxes. Out of 1,334,879 registered vehicles, a concerning 67.91%, or 906,580 units, are currently delinquent. This situation presents a major hurdle for the provincial government in securing the necessary funds for infrastructure projects, which require an estimated Rp 600 billion, while vehicle taxes are projected to contribute only around Rp 300 billion. The amnesty program is thus a strategic move to bridge this significant financial gap.

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For a long time, perhaps those who are not diligent in paying (taxes) have received more attention through amnesty dispensations, now we also give attention to those who are diligent and compliant in paying taxes with these gold prizes.

To encourage participation, the Bengkulu provincial government is offering attractive incentives. Beyond the primary goal of tax forgiveness, participants who pay their dues stand a chance to win valuable prizes, including gold bars. This approach aims not only to clear existing arrears but also to foster a culture of tax compliance for the future. Furthermore, the program includes a significant benefit for vehicle ownership transfers: 'Biaya Balik Nama' (BBN), or the transfer fee, is completely waived for vehicles within the province, and a 50% discount is offered for vehicles coming from outside Bengkulu. This comprehensive incentive structure, running until August 2026, reflects Bengkulu's determined effort to improve its financial health and infrastructure, underscoring the local government's commitment to its citizens' well-being and the region's development.

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The program is to provide convenience and relief for the community, because vehicle name transfer is mandatory in accordance with what is mandated by law.