Strategy for achieving the 2026 regional original revenue target at the Binjai Regional Revenue Management Unit
The Provincial Government of North Sumatra (Pemprov) and the North Sumatra Regional Representative Council (DPRD) continue to strengthen cooperation to optimize regional original revenue (PAD).
This was demonstrated during a visit by the DPRD of North Sumatra to the Regional Revenue Management Unit (UPTD Pependa)/Samsat in Binjai, located at Jalan Soekarno-Hatta in Binjai, during the second session year 2025-2026.
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The working visit focused on evaluating the budget expenditure for 2025 and assessing the results achieved and the challenges in optimizing the PAD. During the visit, members of the North Sumatra DPRD provided various strategic input to support the achievement of the regional revenue target for 2026.
The team attending the recess was accompanied by Erwin Harahap, Head of the North Sumatra Provincial Office for Communication and Information (Kominfo) and Head of the Regional Apparatus Organization (OPD) of the North Sumatra Provincial Government.
Arief Indra Siregar, Head of the Binjai Regional Tax Office (UPTD Pependa), explained that his service covers an area comprising 13 sub-districts, consisting of five sub-districts in the city of Binjai and eight sub-districts in the Langkat Regency, with a total of 142 villages and urban areas.
As of June 30, 2026, tax revenues from the Samsat (District and Urban Tax Office) of Binjai showed positive results. The motor vehicle tax (PKB) reached 34.93%, or 22.42 billion Indonesian rupees, of the target of 64.20 billion Indonesian rupees.
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Meanwhile, the motor vehicle transfer tax (BBNKB) reached 39.72%, or 16 billion Indonesian rupees, of the target amount of 40.20 billion rupees. The surface water tax (PAP) exceeded the annual target amount with a realization of 108.5%.
“Nominally speaking, the village tax (PKB) for June 2026 has actually increased compared to the same period in 2025, when it amounted to 21.8 billion rupees. However, the percentage appears small due to the increase of 4 billion rupees in the budget target for Samsat Binjai this year,” Arief explained.
To achieve the 40% target for the second quarter, the Binjai Regional Tax Office (UPTD Pependa) has implemented various service innovations. This includes the Night Samsat program, which operates from Monday through Saturday from 16:30 to 21:00 WIB (Western Indonesian Time) and has generated 474 million rupees in revenue from 674 vehicles since April.
Additionally, Samsat services are available on Sundays and weekends at Merdeka Square in Binjai and at various locations in the Langkat district. The UPTD Pependa Binjai also manages the Mandiri Tutup Pintu program, which collects taxes directly from taxpayers with an estimated arrears of more than 200 million rupiah.
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This is considered more effective than waiting for cooperation with the district and city administrations. In response to the presentation, members of the North Sumatra Regional People’s Council (DPRD) made several strategic recommendations to further optimize local revenues (PAD).
For instance, they requested transparent disclosure of data regarding regional government state vehicles (SOEs) with outstanding taxes, so that these can serve as an example for the public. The council also encouraged the use of local influencers in Binjai-Langkat to raise awareness regarding tax compliance via social media.
Furthermore, members of the North Sumatra DPRD highlighted the challenges in determining the sales value of heavy equipment (NJAB), as some companies are still reluctant to submit proof of purchase.
The council believes that invoices or proof of initial purchase, even if the goods have been used, can serve as a legal basis for ownership. They also advocated for stricter data collection, particularly for palm oil mills (PKS), which typically possess spare heavy equipment.
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“Regarding companies using PAP but not yet holding an official license from the PTSP (One-Stop Integrated Service Provider), we emphasize the need for strong cross-sector coordination. Companies applying for a license must still be taxed to prevent them from exploiting loopholes in regulations to evade revenue. Furthermore, the issue of damaged water meters must be resolved immediately to ensure correct tax calculation,” said Ajie Karim, Head of the Recess Team for constituency district XII (Binjai-Langkat) of the Gerindra faction. ***rel
