Indonesia

Tax residency in Indonesia is generally triggered by physical presence exceeding 183 days in a calendar year. Foreign income treatment: unknown. No statutory CFC rules apply, which can facilitate the use of foreign holding structures without automatic income attribution.

Second Home Visa (5-10 year stay). Digital nomad E33G visa. New residents: 5-year tax holiday on foreign-source income under certain conditions. Bali and Lombok major nomad hubs.

The standard corporate income tax rate is 22%. Establishing a legal presence here involves a higher degree of administrative complexity, often requiring local legal assistance.

Banking access in Indonesia is attainable but may require more documentation and time than in simpler jurisdictions. Internet infrastructure is developing. Speed and reliability can vary by location and should be assessed for business-critical operations.

Indonesia is a member of the Financial Action Task Force (FATF) and meets its anti-money-laundering standards. EU tax blacklist status: not_listed. Structures involving this jurisdiction may attract additional scrutiny or reporting obligations under EU member state rules.

Based on our scoring model, Indonesia ranks highest for Digital Nomad and Freelancer. It offers a strong proposition for digital nomad (score: 67/100). It offers a reasonable proposition for freelancer (score: 63/100).