Indonesia Showers Property Buyers With Waivers to Spur Economy

Indonesia slashed income tax on the sale of luxury properties in the latest bid to spark a revival in its stagnant property sector and support growth in Southeast Asia’s largest economy.

The tax on income from sales of luxury houses and condominiums priced at 30 billion rupiah ($2.1 million) or more was reduced to 1% from 5%, according to a statement issued by the Cabinet Secretariat Tuesday. The threshold for the application of the lower tax, effective from June 19, was raised from 10 billion rupiah previously, it said.