Bone, S. Sulawesi. A protest against higher land and building taxes in Bone Regency, South Sulawesi, descended into chaos on Tuesday evening, leaving several people injured and forcing the local government to delay the policy.

The clashes erupted in front of the Bone Regent’s office after talks between demonstrators and officials broke down. Protesters broke through police lines and hurled stones, injuring four municipal police officers and one policeman. All five suffered head wounds and were rushed to the hospital as security forces responded with tear gas to disperse the crowd.

In the wake of the violence, the Bone Regency Government announced it would postpone the planned increase in the land and building tax for rural and urban areas, known as PBB-P2.

“After careful consideration and discussions with various parties, the leadership instructed us to postpone and conduct a thorough evaluation,” Acting Regional Secretary Andi Saharuddin said in a statement.

The unrest was fueled by rumors that the tax rate would rise by 300 percent. Local officials denied the claim, saying the actual increase was set at 65 percent. Authorities said misinformation had contributed to public anger.

Andi said the postponement was aimed at easing tensions and allowing time to reassess the policy in line with community conditions. “We also hope this moment will serve as a lesson so that our people are not provoked,” he added.

By late evening, protesters had withdrawn to their base, while police and Satpol PP personnel maintained tight security around the regent’s office to anticipate further demonstrations.

The unrest is not confined to Sulawesi. Similar demonstrations have erupted across Java, where residents are grappling with steep property tax hikes that have fueled public anger and political tensions.

In Pati, Central Java, tens of thousands of residents stormed the regency hall on Wednesday, demanding the resignation of Regent Sudewo after he approved increases in land and building taxes (PBB-P2) of up to 250 percent. The protest turned chaotic, prompting the local legislature to begin impeachment proceedings against him. 

Elsewhere, homeowners in Jombang and Semarang reported tax bills climbing by more than 400 percent. In Cirebon, some residents claimed their taxes rose as much as 1,000 percent, though the mayor disputed that figure.

Economists say the unrest points to broader fiscal pressures as the government seeks to boost tax revenue. “Local governments are facing shrinking fiscal space as central government transfers decline, forcing them to look for new revenue sources,” said Deni Friawan, a senior researcher at the Centre for Strategic and International Studies (CSIS).

He added that growing national spending on welfare and infrastructure is squeezing regional budgets, leaving local administrations with little choice but to raise property taxes.

The central government is seeking to boost revenue. In its draft 2026 state budget, it targets Rp 2,357.7 trillion ($144 billion) in tax collections, up 13.5 percent from the 2025 outlook.