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Tax Evasion on Two-Wheels

Bali Tax Officials Planning to Hunt Down Door-to-Door Unregistered Big Bikes.

(9/17/2011) The Bali provincial tax revenue office (Dinas Pendapatan Bali) records that there are more than 340 large, imported motorcycles that have “never” paid road taxes.

According to Beritabali.com, the average road taxes for a large, imported motorcycle can reach Rp. 5 million (US$555) each year.

The head of the tax revenue office, Ketut Sudira, said on Thursday, September 15, 2011 that the large, imported motorcycles have been smuggled into Bali where they are illegally brought and sold. As a result, the bikes have no valid titles of ownership or registration certificates, making tax administration problematic.

“They have no paperwork so they can not present at the vehicle registration office (SAMSAT). We have tried to coordinate with the police and customs. The owners cannot complete the paperwork with receipts and vehicles titles (BPKB), so clearly they can pay the vehicle registration fees,” explained Sudira.

Sudira said there are 700 owners of large motorcycles in Bali who routinely pay their vehicle taxes.

Separately, NusaBali says tax officials are preparing to stage a door-to-door campaign on residences where large motorcycles and other unregistered vehicles are known to be stored.

Vehicle registration officials say the newly introduced on-line registration process is helping officials identify errant vehicle owners who are avoiding their tax obligations.

Officials now estimate there are some 22,169 vehicles in Bali with outstanding road tax bills, with some unpaid road tax bills going back as long as 10 years.

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