What are the fiscal benefits of investing in Indonesia?

There are several fiscal benefits that foreign investors in Indonesia can take advantage of.

Investing through Holding Companies From your holding company, you can borrow money at a low or no interest rate. You then personally invest in real estate in Bali, where you achieve returns and subsequently repay the loan from your holding. This way, you invest in real estate using funds from your holding.

Tax Advantage for Startup Entrepreneurs Foreign investors benefit from lower tax rates in Indonesia. For the first 3 years, you only pay 0.5% tax on revenue instead of the normal profit tax of 12%. This is a government stimulus program aimed at attracting investors.

Inheritance Tax In the Netherlands, inheritance tax ranges from 20-50%. The higher the inheritance, the higher the tax rate. In Indonesia, inheritance tax is only 5%. For instance, if you buy real estate in Bali and pass away, there is an inheritance tax of 5% in Indonesia.