The Palangka Raya District Court sentenced a businessman identified as EE to two years in prison and imposed a fine of Rp8,848,194,195. The ruling followed an investigation conducted by Civil Servant Investigators (PPNS) from the Regional Office of the Directorate General of Taxes (DJP) for South and Central Kalimantan against the defendant in his capacity as Director of PT NMJ.

The defendant was found to have deliberately failed to remit Value Added Tax (VAT) that had already been collected, and to have issued and/or used tax invoices, withholding slips, collection evidence, and tax payment receipts that were not based on actual transactions.

These acts occurred during the January to December 2019 tax period and were proven to have caused state revenue losses amounting to Rp2,949,398,065, according to a press release from the DJP of the Ministry of Finance on Thursday (February 19, 2026).

The panel of judges determined that the defendant’s actions violated Article 39 paragraph (1) letter i and/or Article 39A letter a of Law No. 28 of 2007 concerning the Third Amendment to Law No. 6 of 1983 on General Provisions and Tax Procedures, as most recently amended by Law No. 6 of 2023.

For these offenses, the defendant was sentenced to two years’ imprisonment and fined Rp8,848,194,195. If the fine is not paid within one month after the ruling becomes legally binding, the Public Prosecutor will confiscate the defendant’s assets and auction them to cover the fine.

Should the confiscated assets prove insufficient, the defendant will be required to serve an additional one-year substitute imprisonment.