Indonesia
Key entity, tax, banking, visa, and compliance guidance for foreign founders incorporating in Indonesia.
Foreign Ownership Eligibility
Indonesia welcomes 100% foreign-owned companies
Fully remote formation — you never need to set foot in the country.
- PT PMA is the standard foreign investment vehicle
- Headline corporate income tax is 22%
- Standard VAT is 12%
- Licensing path depends on OSS/BKPM workflow and business field
Ownership
100% Foreign OK
Formation
100% Remote
Note
Fact sheet marks minimum capital and official PT PMA processing timeline as needing confirmation under current OSS-RBA rules; typical PT PMA registration via OSS takes 3–10 business days (standard sectors); BKPM-ratification sectors may take up to 30 days.
Tax at a glance
Indonesia Tax Overview
22% headline CIT
Corporate income tax
PwC Indonesia
12% standard rate
VAT
PwC Indonesia
Pros & cons
Advantages & Considerations
Key Advantages
Large domestic market with established legal-entity channels
Clear headline CIT and VAT references in current tax summaries
Flexible structures for operating and representative models
Considerations
Capital and licensing requirements vary by sector
Practical setup duration depends on risk-based licensing path
Compliance can be operationally heavy without local support
Incorporation Process
The process is strictly digital. Each stage builds on the previous one.
Define business classification
Execute legal entity setup
Complete OSS licensing
Activate tax and payroll compliance
What you'll pay
Cost Architecture
Government Fees
Annual Ongoing
Professional Services
PT PMA registration via OSS-RBA: 3–10 business days (standard sectors); BKPM-ratification sectors may take up to 30 days.
Still unsure about costs?
These are estimates — your actual cost depends on your structure
Every Indonesia setup is different. A 15-minute call with one of our specialists will give you a personalised cost breakdown — completely free.
Fintech & Banking
Can non-residents open accounts without visiting? YES.
Banking options for non-resident founders in Indonesia. Remote account opening availability varies by institution.
| Institution | Type | Ease for Non-Residents | Notes |
|---|---|---|---|
| Bank Central Asia | Traditional bank | Low (Visit Required) | Institution-dependent due diligence and signatory checks • Varies by institution • Bank-specific • Company deed data, licensing profile, tax registration, UBO documents • BI-FAST/transfers, cards, online banking |
| Bank Mandiri | Traditional bank | Low (Visit Required) | Institution-dependent due diligence and signatory checks • Varies by institution • Bank-specific • Company deed data, licensing profile, tax registration, UBO documents • BI-FAST/transfers, cards, online banking |
| BNI | Traditional bank | Low (Visit Required) | Institution-dependent due diligence and signatory checks • Varies by institution • Bank-specific • Company deed data, licensing profile, tax registration, UBO documents • BI-FAST/transfers, cards, online banking |
| BRI | Traditional bank | Low (Visit Required) | Institution-dependent due diligence and signatory checks • Varies by institution • Bank-specific • Company deed data, licensing profile, tax registration, UBO documents • BI-FAST/transfers, cards, online banking |
| Institution-specific digital and fintech options | Fintech | High (Remote) | Institution-dependent due diligence and signatory checks • Varies by institution • Bank-specific • Company deed data, licensing profile, tax registration, UBO documents • BI-FAST/transfers, cards, online banking |
Regulatory requirements
Annual Compliance Matrix
| Requirement | Deadline | Details |
|---|---|---|
Tax reporting | Ongoing | Maintain periodic tax filings and annual corporate tax return obligations. |
Corporate records | Ongoing | Keep deed, shareholder, and director records updated. |
Accounting documentation | Ongoing | Maintain compliant accounting and transfer-pricing files where required. |
Frequently Asked
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