Bank and Taxes in Indonesia – For some expats in Indonesia, banking and tax could be quite complicated with regulations to fulfill. But once you become more accustomed to the way things are done, here in Indonesia, it will become easier to navigate.
Something that you need to know is the official currency in Indonesia is the rupiah (IDR), which is divided into 100 sen. There are two forms of banknotes in Indonesia:
Notes: IDR 1,000; IDR 2,000; IDR 5,000; IDR 10,000; IDR 20,000; IDR 50,000 and IDR 100,000.
Coins: IDR 100, IDR 200, IDR 500, and IDR 1,000.
Banking in Indonesia
There are plenty of banks for expats to choose from in Indonesia, from private to state-owned, local to international. You can choose whether you would like to open an account in IDR or in US dollars. Some other foreign currencies are also provided. Most banks provide savings accounts, cheque accounts, foreign exchange, debit cards, and credit cards.
You need to provide proof of employment, passport or KITAS, and a residence permit to open a bank account. If you worry about the language, most of the staff at international banks in Indonesia are able to speak English. But take a note that some general requirements may differ from bank to bank. We provide an article about the list of banks in Indonesia here.
ATMs and Credit Cards
ATMs can be found in most shopping centres, bank branches, and tourist areas in Indonesia. You can withdraw cash in Indonesia using any major international credit or debit card.
Taxes in Indonesia
It should be noted that residents of Indonesia are taxed on their whole income while non-residents are only taxed on their Indonesian income. If you stay in Indonesia for more than 183 days in a 12-month period, you are obliged to pay tax resident of Indonesia. Income tax rates in Indonesia may vary depending on an individual’s income.
The bank and taxes in Indonesia could be complex, so if you need helps to solve your tax problem, just contact Tax-Indo for assistance.
