Asia-Pacific · IDR

Indonesia

Reviewed 2026-06-21
Top income tax
35%
Self-employed SS
Optional
VAT
11%
Capital gains
0.1%
Exit tax
No
Nomad visa
Yes
63
/ 100
Tax efficiency50
Ease to enter72
Ease to exit81
Cost of living92
Internet5
English25
How is this scored?
Indonesia taxes residents on worldwide income with progressive rates from 5% to 35%, but skilled foreigners who become tax resident can elect to be taxed only on Indonesian-source income for their first four years. There is no wealth, inheritance, or gift tax, and the headline VAT works out to an effective 11%. The E33G remote worker visa lets foreign-employed nomads stay up to a year if they earn at least USD 60,000 annually, and bringing offshore income onshore can trigger local tax once you cross the 183-day residency line.

Personal income tax

Income tax structureProgressive
Top income tax rate35%
Entry income tax rate5%
Top rate threshold$306,000
Taxation basisWorldwide
Local/state income taxNo

Social security

Self-employed social securityOptional
Employee SS rate4%
Employer SS rate10.24%

Indirect & other taxes

VAT standard rate11%
Capital gains rate0.1%
Long-hold CGT exemptionNo
Wealth taxNo
Inheritance/gift taxNo
Property taxNo

Exit & residency

Exit taxNo
EU/EEA deferralNo
Days to trigger residency183 days

Corporate

Corporate income tax rate22%
WHT on dividends10%
CFC rulesYes

Incentives & special regimes

Special expat regimeYes
Expat regime nameTerritorial taxation for skilled foreign tax residents (first 4 years, Omnibus/HPP Law)

Immigration & setup

Digital nomad visaYes
DNV monthly income requirement$5,000
Entrepreneur visaYes
Ease of setup2 / 5

Lifestyle

Cost of living index30
Internet speed31 Mbps
English proficiencyLow
Civil liberties47

Sources

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Informational only. Nothing here is tax, legal, or financial advice. Tax rules change often and vary by personal circumstance. Verify every figure against an official source and a qualified adviser before acting. Figures are re-expressed from public sources and cited per country.