Illustration of an electric car charging at a charging station

The Provincial Government of Banten will implement a new policy regarding taxes on electric vehicles, which have previously received full exemptions. Through the Regional Revenue Agency, the regulation is targeted to take effect in May 2026.

The head of the Banten Regional Revenue Agency stated that they are currently finalizing the draft of the governor’s decision, which will serve as the legal basis for implementing the tax.

He explained that this policy refers to the latest regulation from the central government, which grants regional authorities the power to impose taxes on battery-based electric vehicles.

“In the initial phase, we will apply a rate of about 25 percent of the tax on conventional vehicles, in line with the agreement of the Regional Revenue Agency association for the Java-Bali region,” he said on Friday, April 24, 2026.

The amount of tax will be calculated based on the vehicle’s sale value and other applicable components in the vehicle taxation system.

The Banten Provincial Government aims for this regulation to be implemented soon after the discussion process is completed and approved by the governor.

“We are accelerating the discussions and will soon submit it to the governor so it can take effect in May,” he added.

The policy will apply to all battery-based electric vehicles, both two-wheeled and four-wheeled. Its implementation will also follow the annual vehicle tax cycle.

“For older vehicles, the tax will be applied at the next due date. If purchased before the policy takes effect, payment will follow the next period,” he explained.

The scheme being implemented is no longer a full tax exemption, but rather the application of a specific rate in accordance with regulations.

“The Ministry of Home Affairs regulation does not provide for a 100 percent exemption, so we start at 25 percent. In the future, this could change,” he said.

In terms of numbers, electric vehicles in Banten have shown an increasing trend in recent years. Data from the Regional Revenue Agency records about 35,000 electric vehicle units, or approximately 22 percent of all new vehicles since 2022.

Furthermore, the Banten Provincial Government also plans to conduct outreach to the public and the automotive industry so that this policy can be understood before it is officially implemented.