Fiscal Incentives

(MOF Regulation NO.237/PMK.010/2020)

NoScopeFacility and Easiness
1TaxMain Activity (Tax Holiday):

Income tax reduction up to 100% with minimum investment of Rp 100.000.000.000 (100 Billion) with the duration provisions as follows:
- Income tax reduction for 10 years with total investment of 100 billion – less than 500 billion
- Income tax reduction for 15 years with total investment of 500 billion – less than 1 trillion
- Income tax reduction of 20 years with total investment of 1 trillion and beyond

Exclude Main Activity (Tax Allowance):
- Reduction of Net Income by 30% for 6 years
- Accelerated Depreciation

Income tax on dividend for 10%
Compensation for loss of 5-10 years
2 VAT and Luxury Sales Taxes- Import: not levied
- Input form other places in the customs area to SEZ, not levied
- Output form SEZ to other places in the customs area, not levied
- Transaction among enterprises in SEZ: not levied
- Transaction with enterprises in other SEZ: not levied
3Customs- From SEZ to domestic market: import duty using Certificate of Origin (CoA)
4Property Ownership for Foreigners- Foreigners / foreign enterprises may have residential / property in SEZ (house site or apartment unit)
- Owner occupancy / property is given residence permit with a guarantee from Managing Enterprises of SEZ
- Exempted for VAT and luxury Sales Taxes
5Main Activity: Tourism Sector- May be granted for tax reduction by 50-100% on the first development
- May be granted for entertainment tax reduction by 50-100%

Non Fiscal Incentives

(MOF Regulation NO.237/PMK.010/2020)

NoScopeFacility and Easiness
6Employment- In SEZ will be established wage council and tripartite cooperation institution
- Only one worker union in every company
- Ratification and extension planning of foreign worker utilization in SEZ
- Permit extension using foreign workers in SEZ
7Immigration- Visitation facility in form of visa upon arrival for 30 days and can be extended five (5) times each 30 days
- Multiple visa valid for 1 year
- Residence permit for foreigners that have property in SEZ
- Residence Permits elderly foreigners living in SEZ tourism
8Land- SEZ that is proposed by private enterprises, is given Building Using Rights and the extension is given directly with the process of granting rights
- SEZ’s Administrator can give land service
9License - Administrator responsible for issuing licenses and permits through the principle of one stop service in SEZ
- Permit publishing acceleration, not later than (in case of all requirements are completed)
- Implementation of the licensing and non licensing requirement compliance (check list)
- Process and completion of licensing and non-licensing of immigration, labor and land on in SEZ’s Administrator

Industry Fiscal Incentives

FISKALSTIMULUSKITE PembebasanKawasan BerikatKawasan IndustriFree Trade ZoneKEKInland FTA
Bea MasukPenangguhanYESYESYESYES
PembebasanYESYESYESYES
CukaiPembebasanYESYESYESYESYES
Pajak ImporTidak DipungutYESYESYESYESYES
PembebasanYESYES
Pajak LokalTidak DipungutYES

Non Industry Fiscal Incentives

FISKALSTIMULUSGudang BerikatPusat Logistik BerikatFree Trade ZoneKEK
Bea MasukPenangguhanYESYESYES
PembebasanYESYES
CukaiPembebasanYESYESYESYES
Pajak ImporTidak DipungutYESYESYES
PembebasanYESYES
Pajak LokalTidak DipungutYESYES