Reconstruction of Land and Building Title Transfer Income Tax Regulation

Stephanie Wilamarta, Sudarsono ., Abdul Rachmad Budiono, Bambang Sugiri


The taxation sector is one of the important factors for the increase of state revenues. In the business of securing the state revenue from the government tax sector, a Government Regulation concerning the payment of income tax on income from the transfer of land and / or building rights.

The Income Tax Law provides that the tax is levied on any additional earnings / earnings (Pay as you earn), but the law itself also provides that against certain income, which among other things is income from transactions of land rights and / or buildings will be governed by a Government Regulation. Theoretical studies describe that the income tax defined by the tax policy does not reflect a fair income tax.

Unfairness in the execution of taxation of income from the transfer of rights to land and or building can be clearly identified from the following matters: (1) the tax base is not applied in the execution of tax collection on income from the transfer of land rights and / or buildings, (2) the size to be used for "ability to pay" is not applied in taxation of income from the transfer of rights to land and or building; (3) to all Taxpayers, the cost incurred by the Taxpayer for realization of taxable income, should be allowed to be deductible in calculating the income taxed, is in fact not allowed, (4) for an individual Taxpayer who derives income from the sale of land rights and / or buildings is not awarded a deduction of the amount of income not subject to tax (PTKP) pursuant to the Act, (5) according to the Tax Law of Pengh all taxpayers of any kind of income received, if the same amount of income, should be taxed at the same tax rate but not applied to income from transactions on land and / or building rights, (6) Article 17 of the Tax Law Income regulates a progressive tax rate structure, so that higher income taxpayers are taxed at a higher rate, resulting in a redistribution of income to create a fairer revenue share, (7) the amount of the rate is not dependent on the total amount of net income received , so there is no justice because taxes are levied on a certain tariff and not from any additional economic / earnings (Pay as you earn).


Keywords: Income Tax, Transfer of Rights, Land and or Building, Tax Imposition, Taxpayer, Tax Rate.

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ISSN (Paper)2224-3240 ISSN (Online)2224-3259

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