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📅 Post Date: September 15, 2025 | 🔄 Updated: August 25, 2026 | ⏱️ 8 min read
Indonesia Residency (Online Processing)
Two main routes out of the other 9 pathways for foreign entrepreneurs to obtain Indonesian residency are the E28A Investor Visa, which is for investors who want to own shares in an existing Indonesian PMA (Perusahaan Modal Asing) company, and the E28B Investor Visa, which is for entrepreneurs who want to start a new PMA (Foreign-Owned Company) in Indonesia.
Golden Visa Indonesia
For entrepreneurs seeking investment residency in Indonesia, company setup is the perfect solution, as 100% foreign ownership is permitted in many business sectors. These programs are designed for investors and business owners, allowing a stay of 1-2 (E28A) or 5-10 (E28B) years, depending on category, with renewals every two years, as long as the eligibility requirements continue to be met. You can continue to operate your company in Indonesia even if you choose not to renew your residency after two years, as the company and residency status are independent once your business or personal bank account is established. Foreigners are allowed to serve as legal representatives, and the only requirement is to have at least two shareholders; one acting as Director and the other as Commissioner.
- Type: Investor Residency
- Country: Indonesia
- Duration: 5 – 10 Years
Setting Up a Foreign-Owned Company (PMA) in Indonesia
i. To incorporate a Company in Indonesia, you need at least 2 founders, with a maximum of 5–6 founders/shareholders allowed. One of them will be the Board of Director and the second the commissar (both positions may be held by foreign nationals; however, at least one executive must hold a valid KITAS (Temporary Stay Permit)).
ii. Processing time: approximately 3 weeks.
iii. Physical office in Indonesia is required (contact for Domicile Services)
iv. The client needs to come up with three names for the company; each proposed name should consist of 3 words in English.
v. Choose the most suitable KBLI (Klasifikasi Baku Lapangan Usaha Indonesia) codes (similar to NAICS or SIC codes in other countries) for your activity, except development, education, and medicine.
vi. PT PMA (joint-stock company) with foreign participation can be incorporated either remotely or in person in Bali, carried out through a notary, government agencies, and Indonesia’s Online Single Submission (OSS) automated system.
vii. Minimum capital requirements for obtaining an Investor KITAS (E28A) are IDR 10 billion (approximately USD 650,000) per foreign shareholder applying for Investor KITAS (E28A) status with no fixed deadline for capital injection, as any funds transferred into the company account may be treated as capital contributions.
The stated investment requirement should not be confused with money that must simply remain unused in a bank account.
For an Investor KITAS structure, the authorities may expect a portion of the stated investment to be actually injected into the Indonesian company. A practical benchmark discussed with clients is approximately 25% of the stated investment, although the timing and implementation can depend on the company, investment structure, and applicable government requirements.
Where capital has been legitimately injected into the company, those funds can generally be used for genuine business purposes and assets of the company, such as:
● Computers and laptops;
● Business equipment;
● Company vehicles;
● Software and technology;
● Office equipment;
● Other legitimate business assets and operating costs.
These assets and expenditures should remain properly recorded in the company’s books and supported by appropriate documentation.
Compliance warning: Foreign investors should not use fabricated bank statements, artificial capital documents, fake employees, or other arrangements designed only to obtain immigration approval. Such practices can expose the company and investor to tax, corporate, immigration, and potentially deportation-related risks.
Foreign-owned companies should also budget for local staffing and ongoing operational requirements.
In practice, a PT PMA may be expected to employ at least two Indonesian employees, although the exact requirement can depend on the company’s structure, business activity, and applicable regulations.
Typical budgeting examples discussed with clients include:
Full-time employee: approximately IDR 3.5 million (~ USD 200) or more per month, depending on the position and location;
Part-time support: approximately IDR 1–1.5 million (~USD 100) per month, depending on the arrangement;
Employer-related BPJS/social and health insurance costs: approximately IDR 150,000–300,000 (~USD 20) per employee per month as a basic planning estimate;
Additional payroll and tax obligations may also apply.
The employees should perform genuine functions within the company. Possible roles include an administrative assistant, cleaner, technical support employee, operations assistant, or other staff appropriate to the company’s actual activities.
Employee costs and requirements should therefore be included in the company’s initial operating budget rather than treated as an afterthought.
Indonesia introduced significant changes to foreign company registration rules effective June 18, 2026. Currently, only about 10–15 types of business activities can still be registered in Bali. Most other business activities are now only available for registration in other regions of Indonesia.
Therefore, it is important to understand:
• Whether the client plans to register the company in Bali;
• What business activities the company will conduct;
• The purpose of incorporating the company (business operations, obtaining an Investor KITAS, making investments, or other objectives).
Once we have this information, we can determine the most suitable company structure and location for registration.
Upon registration, you will receive:
• Notarial deed (Articles of Association)
• Business activity license
• List of founders/shareholders (TSC)
• Tax number and related documents
• Other internal company documents (6 in total)
To qualify for the E28A investor visa, you will generally need:
- A valid passport with at least 6 months remaining before expiry and at least two blank pages
- A recent curriculum vitae (CV)
- Valid health insurance coverage
- Proof of accommodation in Indonesia
- A police clearance certificate from your country of residence or nationality
- Proof of sufficient financial means to support yourself in Indonesia
- Evidence of your shareholding or equity ownership in the Indonesian company
- The company’s Deed of Establishment (Akta Pendirian)
- The company’s bank statement
To qualify for the E28B investor visa, you will need:
- A valid passport with at least 6 months remaining before expiry
- A recent passport-style photo
- Proof that you have sufficient funds to support yourself and your family while living in Indonesia
- Evidence that you own at least 20% of a company outside Indonesia
- Documents showing that your overseas company generates annual revenue of at least:
- USD 25 million for a 5-year visa, or
- USD 50 million for a 10-year visa
- A commitment to establish a PT PMA (foreign-owned company) in Indonesia with a minimum investment of:
- USD 2.5 million for a 5-year Investor Visa, or
- USD 5 million for a 10-year Investor Visa
- The investment must be completed within 90 days of receiving your Investor ITAS after entering Indonesia
- Processing time: approximately 2–3 weeks
- Electronic KITAS (e-ITAS) is issued after arrival in Indonesia
- Renewal is available before the permit expires
- Permanent Residency (KITAP) may be available after several years of continuous legal residence, subject to meeting immigration requirements
- Indonesian citizenship may be available after long-term residence and fulfillment of naturalization requirements
- Please note: Indonesia generally does not recognize dual citizenship for adults, so applicants are usually required to renounce their previous nationality upon naturalization
A company opened outside Indonesia will not work for a residence permit as an Investor’s KITAS. Only a company opened in Indonesia will work.
Opening Bank Account in Indonesia
• To open the corporate bank account, the company director must travel to Indonesia in person. Once the account is active and you have the official bank statement, we can submit the application for the Investor KITAS (E28A visa).
• Other foreign co-founders do not need to fly in—only the director’s physical presence is required.
• Token and security setup provided by the bank
Note: You can open a bank account only in person. However, we can set up a virtual office for you.
Important Note:
To keep your bank account active in Indonesia, you must maintain an Indonesian SIM card registered in your name. To keep this SIM card active, you also need to use it with a locally purchased cellphone. Imported phones from abroad can only function for about three months before being automatically deactivated, as the system tracks and blocks unregistered IMEI codes. Therefore, it’s recommended to buy a simple local phone (even an old Nokia model for around $50) and use it with an Indonesian SIM card. This ensures continuous access to your bank account. As mentioned above, even if you do not renew your residency, you can still keep both your company and bank account active.
Before arranging travel, we first verify whether the selected Indonesian bank can complete the required corporate banking process remotely for the client’s nationality and company structure.
If remote banking is not available, one short visit to Indonesia by the company director is normally required to complete the corporate bank account opening and related verification.
Other shareholders generally do not need to travel solely for the corporate bank account opening.
This means that, depending on the bank and client profile, the company incorporation process may be prepared remotely with only a limited physical visit required for banking.
Golden Visa Family Dependent Residencies
- Family members can obtain dependent visas renewable each 2 years.
Accounting & Tax Services
Operating a PT PMA in Indonesia involves ongoing accounting, tax, and corporate reporting obligations. These should be planned from the beginning, especially for foreign-owned companies.
α. Full bookkeeping and tax reporting included.
β. Approximately 12–16 reports per year (monthly and annual tax filings).
γ. Costs vary based on turnover.:
• Companies with turnover < USD 300,000: 0–5% tax
• Above USD 300,000: 11% VAT (BPM)
• Accurate accounting service cost depends on company size and activity (ask for a quote).
Company closure if you decide to terminate.
For a regular PT PMA, corporate income tax is generally calculated on net taxable profit, rather than simply on gross turnover.
The standard corporate income tax rate is 22% of net taxable profit. Under the applicable small-enterprise facility, companies with annual turnover below IDR 50 billion (~USD 2.8M) may qualify for a 50% reduction of the standard corporate income tax rate on the portion of taxable income corresponding to the first IDR 4.8 billion (~USD 270K) of turnover. This can result in an effective rate of approximately 11% on the qualifying portion.
The previous 0.5% final tax on gross turnover should not be assumed to apply to a regular foreign-owned PT PMA. Foreign investors should therefore not structure their Indonesian company on the expectation that corporate tax will simply be 0.5% of turnover.
Accurate accounting service costs depend on company size and activity (ask for a quote).
Tax is generally calculated from the company’s taxable profit after allowable business expenses, subject to Indonesian tax rules.
A PT/PMA should expect ongoing bookkeeping and reporting, including:
● Monthly accounting and tax reporting covering company income and expenses;
● Annual tax reporting consolidating the company’s financial activity for the year;
● Periodic reporting to the Ministry of Investment covering the company’s investment and business activities;
● Full bookkeeping and supporting documentation for company transactions.
The exact number and type of filings can vary depending on the company’s activities, turnover, employees, tax status, and other circumstances.
Professional accounting and tax support is therefore recommended for foreign-owned companies to maintain proper records and meet recurring filing obligations.
Corporate income tax and VAT are separate taxes and should not be treated as the same rate.
Whether a company must register for VAT and how VAT applies depends on the company’s activities, turnover, and Indonesian tax rules. A proper tax assessment should therefore be made based on the actual business model rather than using a single turnover-based percentage as a general tax rate.
Tax rules can change, so the applicable rates and treatment should be confirmed when the company is established and when material changes occur.
Dividends, Personal Expenses & Access to Company Funds
Foreign shareholders should distinguish between company funds and personal funds.
Money held in the Indonesian company bank account belongs to the company and should generally be used for legitimate business purposes supported by appropriate documentation and invoices. Business expenses such as equipment, business-related vehicles, professional services, business meals, and other legitimate operating costs may be paid by the company where properly documented.
Personal expenses should not simply be paid from the company account. Personal withdrawals may be treated as a dividend, distribution, or another taxable transaction depending on the circumstances.
When profits are distributed to a shareholder as dividends, Indonesian withholding tax may apply.
The applicable rate can depend on the shareholder’s tax-residency status and the circumstances of the distribution. As a general planning reference:
- Indonesian tax resident: approximately 10% dividend withholding tax;
- Non-resident: approximately 20% withholding tax, subject to applicable rules and treaty considerations.
For this reason, tax residency and the method of extracting profits should be considered before substantial distributions are made.
Depending on the structure and circumstances, funds may be accessed through different legitimate mechanisms, including:
● Properly declared dividends after applicable corporate and withholding taxes;
● Reimbursement of legitimate business expenses;
● Properly documented shareholder loans or loan repayments where commercially genuine;
● Separate personal consulting or freelance income where the services and tax treatment are genuinely independent from the Indonesian company.
The appropriate structure depends on the source of the funds, the parties involved, tax residency, contracts, and the actual economic substance of the transaction.
Important: Capital contributions, shareholder loans, dividends, and personal income are legally and tax-wise different transactions. They should not be mixed or documented artificially simply to reduce tax.
All money movements should be supported by genuine contracts, invoices, bank records, corporate resolutions, and other appropriate documentation.
Which Indonesia Residency Route Is Better?
Not every foreign entrepreneur needs to establish an Indonesian company immediately.
For clients who already generate income from an overseas company or employment, it can be useful to evaluate the Digital Nomad KITAS (E33G) before committing to the full PMA + Investor KITAS structure.
For eligible applicants with established overseas income, a practical sequence may be:
- First determine whether applicant is receiving remote work salary at personal bank account abroad.
- Establish the applicant’s Indonesian residency through the E33G Digital Nomad KITAS, subject to meeting the applicable income and eligibility requirements.
- If the applicant operates a digital or SaaS business, consider whether an overseas operating company, such as a Hong Kong company, is more suitable for international payment processing and business operations.
- Consider the Indonesian PMA + Investor KITAS route only if the Digital Nomad pathway does not meet the client’s objectives or eligibility requirements.
The PMA route may be more appropriate where the applicant:
● Wants to establish a genuine Indonesian business;
● Needs an Indonesian company for investment or commercial activities;
● Wants residency linked to ownership of an Indonesian company;
● Needs a local corporate structure for employees, operations, or assets;
● Does not qualify for or does not want to use the Digital Nomad KITAS.
The best route depends on the applicant’s nationality, source of income, business model, intended activities in Indonesia, banking requirements, and long-term objectives.
Practical point: For entrepreneurs whose main objective is Indonesian residency and personal banking rather than operating an Indonesian business, it can be more efficient to investigate the lighter Digital Nomad route first.
For digital entrepreneurs, the country where you live does not necessarily need to be the same country where your operating company is incorporated.
One structure that some international entrepreneurs consider is:
Indonesia → residency and personal presence
Hong Kong → international operating company and payment infrastructure
This can be relevant for SaaS, software subscriptions, WhatsApp API businesses, online services, and other companies that require international payment gateways.
A Hong Kong company may provide access to international business infrastructure that can be more difficult to obtain directly through an Indonesian company, depending on the business model and payment provider. For example, entrepreneurs may evaluate access to services such as Stripe, Google Play, App Store, Wise, or Revolut.
A possible structure is:
Hong Kong company → international business revenue → corporate financial account → personal international account → Indonesian personal account / personal spending
However, the exact tax treatment and reporting obligations depend on tax residency, source of income, company management, contracts, and the actual flow of funds.
Indonesia can therefore function primarily as the entrepreneur’s residency and personal base, while another jurisdiction is used for international business operations.
This is a planning concept rather than a universal solution. The structure should be reviewed for tax residency, permanent-establishment, controlled-company, reporting, banking, and substance requirements before implementation.
Indonesia Remote Worker Visa (Digital Nomad KITAS - E33G)
The E33G Visa (Kitas Pekerja Jarak Jauh) allows foreigners who work remotely for companies outside Indonesia to live and work legally from within the country. It’s designed for digital nomads and remote professionals seeking to stay in Indonesia while continuing their overseas employment. The visa is valid for 1 year and can be extended online via evisa.imigrasi.go.id, while the visa itself must be used to enter Indonesia within 90 days of issuance.
Digital Nomad KITAS (E33G) for remote workers and their family dependents. Processing time is approximately 9 working days.
Requirements:
1) Passport valid for at least 6 months
2) Selfie on a white background (taken within the past year)
3) Proof of financial means: bank statement (last 3 months) showing at least USD 2,000.
4) Proof of income: annual salary or income of at least USD 60,000.
5) Employment contract with a foreign company (outside Indonesia)
6) Curriculum vitae (CV)
7) Travel itinerary
8) Indonesian address (can be virtual)
Advantages:
a) Stay in Indonesia up to 1 year
b) Unlimited re-entry and exit
c) Work remotely for foreign companies
d) Open a local bank account
e) Apply for visas to other countries. Because a KITAS is a residency permit, distinct from long-term tourist visas such as the Thai DTV Visa, designed for digital nomads, remote workers, and long-term visitors for 5-year multiple entry.
Typical Timelines & Planning
The official processing time for a visa does not always represent the total time required to establish the complete structure.
Digital Nomad Route
The E33G Digital Nomad KITAS may be significantly faster where the applicant already meets the eligibility requirements and has the required overseas income documentation.
PMA + Investor KITAS Route
The company route involves additional steps, including:
- Company incorporation;
- Corporate documentation;
- Bank account opening;
- Capital and company documentation;
- Investor KITAS application;
- Immigration processing and entry procedures.
Where the bank requires physical presence, the director should also allow time for travel and in-person verification.
Applicants with an urgent relocation or cash-flow deadline should first determine whether they can establish a personal Indonesian bank account under their current entry status and whether the E33G Digital Nomad KITAS is available to them.
If that route is not suitable, the PMA + Investor KITAS structure can then be evaluated.
The actual timeline depends on nationality, document readiness, banking requirements, company activity, and government processing.
Benefit of Having a KITAS Temporary Residency in Indonesia
Indonesia residency can also serve as a practical base for international mobility. Once legally resident in Indonesia, an applicant may have additional options when applying for visas, banking services, or residency programs in other jurisdictions, depending on the requirements of the destination country. This can make an Indonesian KITAS useful not only as a residence permit but also as part of a broader international relocation strategy.
One of the main benefits of having a residency (KITAS) in Indonesia is that it makes the legalization of your documents much easier and faster. For example, if you plan to apply for the Argentine Rentista residency, you will need to present documents such as your company ownership certificate, proof of passive income or dividends, and a bank letter. With an Indonesian residency, you can have all these documents notarized and apostilled directly at the Ministry of Law and Human Rights in Indonesia, without visiting the Argentine Consulate. Once everything is apostilled, including the power of attorney, you can simply send the documents to Buenos Aires, where the Immi Legal team will submit them to the Argentine Migration Department on your behalf for Entry Authorization to Argentina. After your Entry Authorization is approved, you can enter Argentina as a resident instead of a tourist. Applicants who require a visa to enter Argentina still need to visit the consulate for an interview; however, with an approved entry permit, your chances of having the entry visa stamped in your passport are significantly higher than when applying for a regular tourist visa.
Apostille and Notary Service Providers in Indonesia:
1. https://notary24.com/
2. https://baliapostille.com/pricing/
3. https://apostille.id/police-record-apostille-indonesia-2025-fast-new/
3. Business Visa Indonesia (D12 Visa)
The D12 Visa allows foreigners to enter Indonesia for business startup activities or to explore investment opportunities. It also permits visiting tourist attractions and meeting friends or family. This multiple-entry visitor visa grants an initial stay of up to 180 days, extendable for a total of 12 months, but it cannot be converted into a temporary stay permit. Applicants must have a local sponsor registered on evisa.imigrasi.go.id, and the process typically takes five working days after payment. The total cost will be USD 1200 for one year. Must renew after 6 months (visa run required) or renewal from inside Indonesia will cost an extra USD 500. You can open a local Indonesian savings bank account at no cost.
Required Documents:
1. Residential address in Indonesia
2. Passport photo page (clear scan)
3. Passport-style photo (selfie on a light background)
Visa activation: You must enter Indonesia using this visa to activate it. Since the process is fully online, you don’t need long-term residency in any country to apply. Unlike most countries that require consulate appointments, Indonesia’s system is simple, fast, and accessible, the true beauty of Indonesian visa approach.
C1 - Tourism Visa
The C1 visa is a single-entry visitor visa for visa-required countries for tourism, business meetings, or site visits, valid for 60 days and extendable up to 180 days. Our service fees cost USD 300 per 60 days per person, renewable in person from inside (USD 300), or we can renew online too for USD 350. Applicants need a passport valid 6+ months, proof of USD 2,000 funds, and a return ticket. No sponsor required unless stateless or holding a non-national passport. Processing takes about five working days.
List of Countries Eligible To Apply for Visa on Arrival (VoA)
The B1 visa is a Visa on Arrival (VoA) that allows single entry to Indonesia for tourism, visiting family or friends, attending meetings, conventions, or transiting to another country. It is valid for 30 days and can be extended once for another 30 days from inside Indonesia. The cost is USD 150 for 30 days and USD 150 for renewal from inside. Citizens of eligible countries, such as Argentina, can apply online via evisa.imigrasi.go.id or indonesiavoa.vfsevisa.id by uploading a valid passport (6+ months), a return or onward ticket, and a recent photo, with digital payment by card. Processing takes about 1 day, and no sponsor is required. Holders of this visa cannot work or earn income in Indonesia.
