Tax on Ground Water to be Levied - Jakarta - Cashing in on Consumption

The Government of Jakarta has recently issued a Regulation that imposes a tax on ground water taken and used by not only businesses but also private citizens. The imposition of this ground water levy will require all those businesses and individuals still using wells, bores, or other equipment to take and use ground water to install meters to record the amount of taxable ground water used. Once fully operational this Regulation theoretically will lead to a significant increase in local and regional tax revenues.

The first stage will require ground water users to register their water source as a taxable object and will subsequently receive a tax payer number. Following this, the individual or business will need to install the necessary metering technology.