Regulation Watch · Tax Compliance · Klungkung Regency, Bali, including Nusa Penida.
Klungkung PBB-P2 Arrears Relief Ends 30 September
Klungkung property taxpayers can obtain automatic cancellation of PBB-P2 principal and fines through tax year 2021 by clearing the required 2022–2026 liabilities no later than 30 September 2026.
- Published
- Established and promulgated on 20 July 2026 in the Klungkung Regency Gazette 2026 No. 24. The signed official PDF records 20 July, while the JDIH catalogue metadata separately displays 27 July.
- Effective
- 20 July 2026, the date of promulgation stated in the signed official text.
- Added to Watch
- 21 September 2026
Who is affected
Individuals and bodies liable for PBB-P2 on land or buildings in Klungkung Regency, including Indonesian companies, PT PMA companies using lawful land-right structures, property owners, landlords, villa and hotel operators, developers, long-term tenants bearing local property-tax costs by contract, heirs, buyers conducting tax due diligence, and advisers managing property portfolios in mainland Klungkung or Nusa Penida.
Practical impact
PBB-P2 principal and administrative fines outstanding through tax year 2021 can be cancelled automatically through SMARTGOV, but only after the taxpayer pays the principal for tax years 2022 through 2026 and the fines for tax years 2022 through 2025 by 30 September 2026. The regulation applies to both individuals and bodies, so qualifying companies and PT PMA property structures can use the relief where they are the registered taxpayer.
Late discovery: Klungkung Regent Regulation 24/2026 was established, promulgated, and made effective on 20 July 2026 according to the signed official text. Klungkung's JDIH catalogue lists the instrument as in force and published it online on 21 September, while its metadata separately displays 27 July. The development remains immediately actionable because the qualifying payments must be completed by 30 September 2026.
The relief concerns PBB-P2 liabilities attached to land and buildings throughout Klungkung Regency, including Nusa Penida. It cancels the principal and administrative fines through tax year 2021, subject to the taxpayer first paying the PBB-P2 principal for 2022 through 2026 and the fines for 2022 through 2025. The regulation states that SMARTGOV applies the cancellation automatically when the qualifying payments are completed.
This is not a blanket write-off of all PBB-P2 debt. The recent-year principal and fines must be settled no later than 30 September through the regional cash account, using cash or non-cash payment under the applicable procedures. Klungkung BPKPD's official implementation notice confirms the same payment conditions and deadline.
The relief is available to a PBB-P2 taxpayer that is an individual or a body, including a limited-liability company. The practical test is therefore the registered taxpayer and the specific tax object, not the investor's nationality. PT PMA companies, buyers, lenders, developers, landlords, and long-term tenants should reconcile the NOP, taxpayer name, land or building data, and contract allocation before making or relying on the payment.
After payment, the taxpayer should check that SMARTGOV has actually removed the principal and fines through 2021 and preserve the updated official record. Buyers and transaction parties should treat that updated record—not a contractual promise or payment screenshot alone—as the due-diligence evidence that the older PBB-P2 balance has been cleared. A taxpayer that receives the exemption cannot later seek instalment or postponement for the covered obligation.
Required action
- Obtain a current SMARTGOV or Klungkung BPKPD statement for every PBB-P2 tax-object number and separate liabilities through 2021 from the principal and fines due for 2022–2026.
- Confirm the taxpayer and object data are correct, then pay the 2022–2026 PBB-P2 principal and the 2022–2025 fines through the Klungkung regional cash-account channel no later than 30 September 2026.
- After payment, verify in SMARTGOV that the principal and fines through 2021 have been cancelled automatically; retain the payment receipt, before-and-after ledger, and updated tax-clearance evidence.
- For an acquisition, financing, lease, or development transaction, allocate the payment and relief responsibility in writing and do not assume old PBB-P2 debt has disappeared until the official record is updated.
- Do not request an instalment or payment postponement for the covered obligation after the exemption has been granted, because the regulation expressly removes that option.