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[BUSINESS] · Indonesia · 2 sources

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Indonesia to cover 100% VAT on domestic economy flight tickets

VAT incentive domestic flights Ministry of Finance holiday travel Indonesia economy

The Indonesian government is providing a 100% Value Added Tax (VAT) incentive for domestic economy class flight tickets during the 2026 Christmas and 2027 New Year holiday period. This measure is established under Ministry of Finance Regulation (PMK) Number 77 of 2026, signed by Finance Minister Suahasil Nazara.

The incentive covers the entire VAT owed on the base fare and fuel surcharges for eligible flights. To qualify, tickets must be purchased between October 20, 2026, and January 10, 2027, for travel occurring between December 22, 2026, and January 10, 2027.

According to the regulation, the policy aims to maintain public purchasing power and stimulate national economic activity during the year-end holiday season.

Entities

Indonesia · Ministry of Finance of Indonesia · Suahasil Nazara

Sources

Tiket Pesawat Nataru Lebih Hemat, PPN Rp100 Ribu Ditanggung Pemerintah : Okezone Economy [economy.okezone.com]
Kabar Baik! Tiket Pesawat Libur Nataru 2026-2027 Bebas PPN [www.cnbcindonesia.com]