Faq4How much tax do you pay for commercial real estate in indonesia

How much tax do you pay for commercial real estate in Indonesia?

There are various types of taxes to consider when owning real estate">commercial real estate in Indonesia. Here are the taxes you need to pay:

Sales Tax The largest tax item is local sales tax, which is 10% of revenue and must be paid monthly.

Profit Tax Profit tax is normally 12%. For the first 3 years, there is a special benefit scheme for startup entrepreneurs, where you pay only 0.5% on revenue instead of the regular profit tax. This is a government stimulus initiative.

Property Tax Property tax (Pajak Bumi dan Bangunan, or PBB) is a tax on real estate ownership based on property value. PBB is payable annually and amounts to 0.5% of the property value.

Dividend Tax Dividend tax on dividend income ranges from 10-13%.