Understanding Progressive Taxation on Idle Land in Indonesia: An Overview of Implementation and Impact

The progressive tax on idle land in Indonesia represents a thoughtful approach to managing land resources, curbing speculation, and promoting equitable land use. While challenges remain in implementation, this policy could positively affect the property market, social equity, and local economies. By encouraging the productive use of land, Indonesia takes an important step towards sustainable urban development and improved housing accessibility for all.

As the progressive tax policy on idle land continues to evolve, it will be essential for the government to address challenges, improve compliance mechanisms, and ensure the policy effectively balances economic growth with social and environmental goals.

References

- Commons, J. R. (1922).  A Progressive Tax on Bare Land Values. Political Science Quarterly, 37(1), 41-68. Oxford University Press.

- Apriani, R. N., & Inayati. (2020). Alternative Policy on Progressive Tax Rate on Idle Land in the Special Capital Territory of Jakarta. Jurnal Administrasi Publik, 10(2), 127-137. University of Indonesia.