ROHMAT, 54, has canceled his plan to buy a new car this year. The man, who lives in Depok, West Java, even discarded several brochures and price lists for cars from various brands that he had collected. His plan to upgrade his 15-year-old car was scrapped after the government increased the value-added tax (VAT) from 11 percent to 12 percent. “I had to cancel,” he said on Friday, January 10, 2025.

Cars are one of the items subject to