Comment acheter un bien immobilier à Bali ?
Buying property in Bali can be confusing between all the different articles you can read. This article sheds light on how to buy a property in Bali and Indonesia and how to proceed. Key Takeaways Foreigners can securely invest in Bali real estate through leasehold, Hak Pakai, and HGB titles, with each option offering unique benefits. Investors must navigate legal aspects diligently, such as setting up a PT PMA company for legal entity status, performing due diligence, understanding taxes and fees, and working with real estate professionals to ensure a secure and profitable purchase. Understanding Property Ownership Options in Bali It can be challenging to understand how property ownership works in Bali when buying property in Bali, but being aware of the options set up for you as an investor is crucial. Leasehold, Hak Pakai (right to use), or HGB (right to build) are options available for foreign buyers depending on their price and income level as well as their needs. Only Indonesian citizens can hold land under Hak Milik when buying property in Bali. This knowledge also aids investors in making smart decisions about buying property in Bali. 1. Leasehold Properties for Foreigners Leasehold properties provide foreigners with a reliable and stable option for investment. Individuals, Foreigners or companies can lease a property. The party selling the leasehold is called Lessor while the buyer is called Lessee. A leasehold has no maximum duration as a court in Jakarta has recognized a leasehold for 100 years. Historically, buyers have been looking to buy a leasehold for a period of 25 to 30 years, although some can request a shorter or longer duration. A leasehold can be signed in front of a notary or between 2 parties without a notary A leasehold is a private contract between two parties. The clauses have to respect the Indonesian regulation. A leasehold contract should be reviewed by a legal or lawyer to make sure all clauses are protecting your rights. On a leasehold, the buyer doesn’t become the owner. The owner is still responsible for the land and building tax. The buyer has to make sure each clause on the contract cannot be used to cancel the agreement. 2. Hak Pakai: Right of Use for Foreigners Hak Pakai is a property ownership structure that permits foreign nationals holding a KITAS or KITAP to acquire property in Bali, but only on the condition that the property already has an existing building. This certificate does not allow you to buy bare land, and the property must meet a minimum value that varies from province to province. The first piece is a 30-year term, with 80 years of… 3. HGB Title for Commercial Use Foreign-owned companies (PT PMA) are permitted to hold the Hak Guna Bangunan (HGB), which is the highest property title for them. HGB is different from a leasehold agreement in that it gives the development right, including the right to resell, transfer, or mortgage the property. It is for a 30-year term, extendable to 80 years, making it ideal for those buying commercial properties or an apartment as part of a Second Home Visa. Make navigating real estate in Indonesia easy Save time and money by letting ILA’s team of experts guide your real estate journey in Indonesia. We can help with due diligence, land title transfers, notary services, contract drafting and reviewing, building permits, various licences and more. Find more information about our broad range of real estate services, or reach out today for a free consultation. Legal Aspects of Buying Property in Bali Navigating through the legal intricacies of acquiring property in Bali requires adherence to crucial procedures for people looking to secure their property purchase in Bali. Secure a proper offer with a proper contract Undertaking thorough due diligence Establishing a PT PMA enterprise if you want to do business with your property and apply for a Vila license to list your property on Airbnb Sign a leasehold or purchase agreement and review your contract with a third party to ensure the contract does not favour one side. It is a crucial step, especially on a leasehold. Secure your contract Most issues result from a wrong contract or misunderstanding. The initial offer is the basis of the relationship and the rest of the process. Reviewing a leasehold contract is crucial. The language barrier, even with a notary, can lead to unpleasant situations. Optimize your tax exposure Creating a PT PMA (Perseroan Terbatas Penanaman Modal Asing) helps you to acquire a leasehold or HGB but it also helps you to optimize your tax exposure and make your business and investment legal. The inclusion of no less than two shareholders An allowance for entirely foreign-owned enterprises in the domain of real estate A director and a commissioner Setting a PT PMA company helps you to optimize your taxation and get a better Return on Investment (ROI) and secure your property. Due Diligence and Property Verification Conducting due diligence and confirming the validity of property are essential components in acquiring real estate. This includes: Verifying that the seller is legally allowed to sell the property Verifying liens or encumbrances on land title Confirming that there are no active legal disputes regarding the land Verified the clear and legal owning of the property Verifying that the size of the land corresponds to what’s mentioned on the title Soil test being made to make sure land can be constructed Getting a proper road access agreement Prevent future conflicts over land boundaries or ownership Indonesia classified the land and properties on different zoning. Checking the zoning can influence how you can build and licenses you can get, specially if you are willing to have a license for Airbnb or a restaurant, Hotel etc. Taxes and Fees Involved Freehold Under license property regulations, in freehold property transactions, sellers are subject to the PPH tax of 2,5%, whereas buyers should pay a 5% BPHTB tax according to the government valuation. Owners also pay a yearly 0.5% Property Tax (PBB). Leasehold Non-resident lessors must pay a lease tax of 20%, while those with a KITAS
Comment ouvrir un compte bancaire en Indonésie
A personal or business bank account in Bali or the rest of Indonesia is crucial to facilitate transactions in Indonesia. As a foreigner relocating to Bali or opening a business in Indonesia, using your overseas bank account can lead to high transaction fees. To avoid this, you need to open a bank account in Indonesia. Banks in Indonesia offer multi-currency bank accounts to facilitate your payments and issue invoices in Indonesia. How to open a personal bank account in Indonesia? The regulations in Indonesia authorise residents to open bank accounts there. Foreigners with a KITAS or KITAP can open a bank account in Indonesia. Foreigners with a tourist or business visa are not theoretically allowed to open a bank account in Bali or the rest of Indonesia. However, it has been a common practice for some banks to allow foreigners to open an Indonesian bank account with an Indonesian sponsor. The documents needed to open a personal bank account in Indonesia: Passport KITAS (Limited Stay permit) SKTT (or proof of address) Local Phone number Internet banking is working in Indonesia with local numbers. KITAS holders can obtain a permanent phone number by providing a copy of their passport to the telecom provider. The procedure to open a bank account is fast, with the bank having a branch office in Bali and Indonesia. While in some countries, it can take a few days to get a debit card, the Indonesian bank provides access to the account and the debit during the registration process. The process can take less than 1 hour to use the application and get a debit card. However, the difference between the two countries is that debit cards in Indonesia are very limited in some operations, such as physical payment and withdrawal. Indeed, some online systems reject the debit card during the payment process and require a credit card. Getting a credit card in Bali or Indonesia depends on each bank. It requires some deposit and having a working contract or a business running for a while. This might be annoying for people who usually use their debit cards to pay online. Some new online banks now provide virtual cards that you can use for online payment. Also read: How to Register Trademark in Indonesia Never worry about taxes and accounting again Dealing with finances, taxes, and accounting can feel overwhelming, especially as a foreigner in Indonesia. Let us guide you through processes like tax calculation, payroll, personal or corporate tax, short-term investments, balance sheet analysis and much more. With ILA by your side, nothing can go wrong. Schedule a free consultation today or learn more about our tax and accounting services. How to open a corporate account? After establishing a company in Bali, Lombok, or the rest of Indonesia, the important step is to open a corporate bank account in Bali or Indonesia to run and operate the business. To open a corporate Indonesia bank account, banks require the following: Akta of the company (deed) Tax Card (NPWP) SK (Ministry Approval) NIB (Business Identification Number) PKKPR KITAS of the director Indonesian Phone number The person able to open the bank account is the director of the company and not the commissioner of the PT PMA. The director has to be a resident of Indonesia (KITAS holder). Some banks can assist in opening the bank account while the director is still in the process of acquiring its KITAS. Procedure The process of opening a corporate bank account in Bali takes a bit more time than opening a personal bank account, as some verification steps are necessary. Once the documents provided are approved, the bank will issue the bank account number in a maximum of 4 business days (usually 1 or 2 days) and require the shareholder to inject a minimum deposit. This deposit varies from bank to bank (OCBC can require 51 million IDR while BNI 10 million IDR). Some banks provide multi-currency accounts, but we suggest checking and indicating to customer service which currency you wish to open. After receiving the deposit, the bank can proceed with internet banking, providing a physical or virtual token (mobile). The token is to be able to initiate the transaction (maker) and approve the transaction (approver). Corporate Card Unfortunately, not all banks provide corporate debit cards. Some banks provide only credit cards and require some high guarantee for a small or starting business. Banks like Permata or BNI provide corporate debit cards, which can be useful to be able to withdraw cash instead of going to the bank. Some banks even require you to pay for a chequebook to be able to withdraw your own money at the counter. The traditional banking system is improving a lot in Indonesia and has a lot of innovation. However, the online banking system with corporate banks is still not user-friendly, intuitive and difficult to use for an initiative. Some providers have emerged to provide alternative banking. Also read: Planning to Move to Bali? Here’s Your Document Checklist Online Banking While Indonesia has a big network of banks (BNI, OCBC, Permata, Mandiri, BCA, BRI, etc), new actors have emerged to provide alternative banking solutions (Aspire, for example). Those alternative banks have a user-friendly approach with virtual bank accounts and virtual debit cards. Those neo-banks offer a competitive approach with reduced banking fees, payroll solutions and a multi-currency approach. You can easily invite collaborators to log in and give them full or limited access to the system. The inconvenience is the inability to withdraw cash for some payments or corporate expenses. We suggest combining different bank accounts, offering more flexibility in your corporate bank account management. EDC and Payment Gateway in Indonesia Payment Gateway For some companies, being able to accept payment online by credit or debit card is crucial. However, some providers, such as Stripe, are not able to operate in Indonesia. Other providers have entered the market, such as (Xendit) offering alternative payment solutions in IDR. Those payment gateways can be connected to