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  Have a plan to import goods and products to Indonesia? If yes, some things need to prepare for the permit because Indonesia’s bureaucratic procedures are quite complex for trading compliance. Securing an Import License through OSS is not enough. Setting up a company in Indonesia is a must, which can take more than five months, even longer. Using under name import service in Indonesia will be more effective in cutting timeline, energy, and expenses.  This article will help give information regarding alternative methods to import goods using the under-name service in Indonesia.   What Is an Under Name Import Service? Username importer, known as the importer of record (IOR), is a legal entity registered in Indonesia responsible for all the documents and entry requirements for importing goods to the country. The under name import provider has official licenses and permits to carry out import activities registered under the Directorate General of Customs and Excise  an IOR will provide all entry documents needed for clearance through customs, payments for any levies, duties or fines, product certification, and classification, and other responsibilities, fall to the importer in Indonesia.   Benefits You Gain  Using this service can bring benefits for both companies and manufacturers related to import in Indonesia. The very first thing is there will be no issues with taxes and legal points since IOR is included as one of IOR’s responsibilities, so they will make sure everything is related to it. Next, importers or manufacturers who do not have the required documents and import approval from the authorities don’t need to bear custom risks of shipment delays and penalties. Lastly, benefits provided not limited to: The shipment clearance process becomes simpler. A transparent process that is fully in compliance with all export and import regulations It no necessary to establish an import legal entity in Indonesia just for importing purposes Lastly, Have a plan to set up a company in Indonesia? Please check this article first. Want to know more about the under-name import service in Indonesia? Please contact us.  

  Import is one of the trade activities legally transporting goods or commodities from one country to our country. The number of imported goods generally requires interference from customs in sending and receiving countries. Import license in Indonesia needed to import goods to the Indonesian market. It’s only for the particular industry and has restrictions on importing goods that are not related to some sectors of businesses. Therefore, you have to know in advance what business import license suits your business field and how you apply for it. To get through the customs clearance, you need to hold an import license no matter how small or how big your shipments are. This article will let you know everything you need to know about and apply for an import business license in Indonesia. What is Import License in Indonesia? Basically, import license in Indonesia is a non-tariff barrier that is used to control the import allowance and items to Indonesia. It is also protecting local producers by restricting the fields of goods imported.    Type of Import License in Indonesia There are 3 types of Import License in Indonesia:   1. API-U (General Import License)  This license is for fully-made products to be sold or distributed later in Indonesia. It is for the import of finished products or to trade goods with a third party.  2. API-P (Producer Import License)  Imported fowl raw materials or manufacture support goods for the manufacturing process in Indonesia need this license, but it’s restricted to re-selling/re-distribute the goods. In other words, the goods imported are only can use for the production/manufacturing process. 3. A Limited Import License (API-T) API-T is limited importer identification with the Indonesian Investment Coordinating Board (BKPM) as the issuer. The goods imported are subject to a reduced withholding tax of 2.5 % compared to the normal rate of 7.5 % under this license. However, since the entry into force of the OSS system, all licensing and licensing processes will be under OSS, including processing API and NIK permits as import permits. Through this OSS system, each company will get a NIB (Business Identification Number) which also applies as an Importer Identification Number (for import permits) and Customs Identification Number (if the company is processing import permits). The validity period of the NIB is as long as the company continues to operate. So nowadays, entrepreneurs engaged in import and export no longer need to take care of API and NIK. However, entrepreneurs still have to ensure whether they still need to meet the technical requirements in the field of the relevant authorities in carrying out import and export activities in the field. Thus, import companies or companies engaged in export activities do not need to go through obtaining API and NIK anymore. However, importers must ensure that they still meet the technical import requirements with the relevant authorities.   Important notes A regulation issued by the Ministry of Trade regulated about the same company does not allow for API-U and API-P license. Therefore, you need to set up 2 Companies to simultaneously able to conduct your business activities.   Documents Required to Apply for Import License in Indonesia Photocopy of Deed of Establishment from Notary Public and its amendments (if any). A copy of Ministry of Law and Human Rights Decree and amendments thereof (if any). Photocopy of Company Domicile Certificate (SKDP). A copy of NPWP and SKT Agency. Information related to the classification of business fields changed/included in the NIB. Photocopy of ID card of the shareholders. Photocopy of NPWP of the shareholders.   Want to know more about Import License in Indonesia? Please contact us We suggest you read about related Types of companies in Indonesia.  

  Indonesia is one of the most beautiful countries to lives in when the people, environment, and culture will never disappoint us. Furthermore, Indonesia is also known as a low living expenses country. So, having a plan to spend the retirement phase in Indonesia is absolutely a great choice that will never go wrong. Retirement Visa is a must-own stay permit to be a retiree in Indonesia. Retirement Visa is one kind of KITAS that is only given to pensioners over 55 years old who have no intention to work in Indonesia, valid for one year, and can be extended five times.   Requirements You Need to Fulfill to Get a Retirement Visa Applicant must be a Pensioner No working intention in Indonesia Over 55 years old Have a pension fund with a minimum of USD 1500/month However, hire Indonesian assistants and/or drivers is a must Have an Indonesian Sponsor   Documents You Should Prepare to Get a Retirement Visa Photocopy of all passport pages Eight passport photographs measuring 3 × 4, with a red background 12 photos measuring 6 × 4, with a red background curriculum vitae A married applicant must attach a marriage certificate The statement letter has a pension fund of at least $ 1,500 per month with a state bank origin and Indonesia Proof of having health insurance or life insurance Statement letter for accommodation in Indonesia A statement letter that will employ domestic assistants and drivers Indonesian citizenship Pay immigration fees Letter of support from the appointed travel agency A statement letter state will not work or do business in Indonesia   Procedure to Obtain a Retirement Visa Firstly, prepare all documents needed Secondly, upload all documents to the online immigration system Then, upon arrival in Indonesia, I need to do biometric After that, KITAS will be issued and given in 3 days work Lastly, register KITAS to Civil Departments to get SKSKPS & STM   Benefits Provide Allowed to live in Indonesia for many years Enter and exit the country as many times as you want to Permitted to open a local bank account Lease a land In addition, obtaining Retirement Visa only is not enough. A KITAP is mandatory to obtain. Above all, during this new normal era, The Ministry of Law and Human Rights applied new regulations related to visa and stay permits.  

  Have any business related to Indonesia in the relatively long term? If yes, a stay permit is needed to obtain. Therefore, knowing the differences among the kind of stay permits in Indonesia is very important to match the need. There are three types of stay permit in Indonesia:   Visit Stay Permit in Indonesia (ITK) ITK is given for a short-term visit (30-60 days) for those, such as: Firstly, Foreigners who enter Indonesian territory with a visit visa, Meanwhile, a child born in Indonesia’s territory and at the time of birth, the father and or mother was the holder of a Visit Stay Permit also eligible to hold ITK. Then, foreigners from countries exempted from the obligation to have a visa by statutory provisions. After that, a foreigner assigned as a child is a means of transportation anchored or in the territory of Indonesia under the statutory provisions. Also. foreigners who enter Indonesian territory in a state of emergency, and Lastly, foreigners who enter the territory of Indonesia with a Visit Visa on Arrival. Know more about Business Visa Indonesia.   Limited Stay Permit in Indonesia (ITAS) ITAS is a permit for foreigners that enter the territory of Indonesia with a limited stay visa or foreigners that eligible for status transfer from an ITK, which covers: Foreigners in the context of investment; Work as an expert; Performing duties as clergy; Attending education and training; Carry out scientific research; Joining a husband or wife who holds a limited stay permit; a father and or mother for children of foreign Nationality who have a family law relationship with the father and or mother of an Indonesian citizen, even the father and or mother holding a limited stay permit or permanent residence permit for children who are under 18 (eighteen) years of age and have not yet married; Foreigners ex Indonesian citizens; and Foreign elderly tourists. Children who at the time of birth in the Indonesian territory the father and or mother hold a limited stay permit; Foreign captains, crew, or foreign experts onboard ships, floating devices, or installations operating in the territorial waters and jurisdiction of Indonesia under the provisions of laws and regulations; Foreigners that legally married to Indonesian citizens; or Children of foreigners that legally married Indonesian citizens. Foreigner to do short-term work. Furthermore, an ITAS Valid from 90 days up to 2 years.   Permanent Stay Permit (ITAP) Above all stay permits in Indonesia, ITAP is the most wanted permit in Indonesia due to the advantages. An ITAP is given to certain foreigners to live and settle in Indonesia’s territory as a resident of Indonesia. The permit eligible in the case of: Firstly, Foreigners who hold limited stay permits as clergy, workers, investors, and older people, also family due to mixed marriage; Then, Husband, wife, and or children of foreigners who hold permanent residence permits; Lastly, Foreigner, ex-Indonesian citizen, and ex-child subject to the dual citizenship of the Republic of Indonesia. In addition, it is mandatory to hold ITAS that already been extended for 5 (five) years after that can be transformed into ITAP. However, during this COVID-19 situation, special regulation of stay permit applied by the Government of Indonesia. Please check it here. Do you find any difficulties in applying for a stay permit? Please contact us  

  Preparing a company name in Indonesia is an important step to set up a company in Indonesia. If you prepare a company name, it should fulfill the requirement and legal aspects to be registered. This article will help to find out about it.   How to Choose Company Name in Indonesia? Before a company name is going to register, a Public Notary must approve it. Therefore, things that must follow in choosing a company name are:   Language If the company type is a local company in Indonesia, it must use fully Indonesian. However, if the company is a foreign investment company, you can use a partially or fully foreign language. It is a must to write the company name in the Latin alphabet.   A New Name Please ensure that the company name has never been used before by any company, either an inactive one. However, don’t worry!! You can check the company name here.   Similarity The company name should not be similar to any government or international institutions and organizations.   Contain at least Three Words Actually, it is an unwritten regulation. However, the system always rejects company name applications composed of 2 (two) words.   Avoid Using Obscene Words It is prohibited to use obscene or vulgar words to create conflict with the public order or morality.   Do Not Use Number or Special Character Avoid using numbers and characters. Using any letter or number combinations that do not form a coherent word is not allowed.   Not Contain Business Classification Make sure not to put any word with a business classification meaning, for example, PT Joint Venture Company. If the Legal Entity Information System approves the company name application, it will last for 60 (sixty) days. It will start to count before the end of which shareholders and Public Notary signed the company’s Deed of Establishment. Do you need our help to choose a company name? Please contact us!  

Are you willing to set up an organization in Indonesia? Before establishing it, you had better learn more about it. In our daily life, we know many kinds of organizations. The organizations are established with specialties ranging from religious cultural social to business activities. However, they are equal in law.    Types of Organizations in Indonesia In accordance with the legal form, there are two kinds of Indonesian organizations. They are:   1. Legal entity organizations Legal entity organizations are the most common type of organization established in Indonesia. They are registered in the Ministry of Law and Human Rights through AHU online system.   2. Non-legal entity organizations On the other hand, a non-legal entity organization is registered in the Ministry of Home Affairs. This is through the Civil Society Organization Information System (CSO Information System / SIORMAS) with an authorized Notary.    How to Establish an Organization in Indonesia To set up a legal association in Indonesia, getting permission from the Indonesian Minister of Law and Human Rights is a must. Here are steps to set up an organization in Indonesia as follows:   1. Name for Your Association First of all, you must register your organization name to the Ministry of Law and Human Rights through AHU Online system.   2. Legalization as a Legal Entity Then, the requirement must meet to be an applicant is an authorized notary. To apply for legalization, you must pay the application fee of IDR 250,000.   3. Register for Ministerial Decree The applicant shall submit the establishment format with the required supporting documents.   4. Upload the deed of establishment  Next, upload the dead of the establishment.    5. Receive the Ministerial Decree Last, after the whole process passes, you receive the Ministerial Decree.    The purposes of Setting Up an Organization  In addition, most people establish an organization in Indonesia with different purposes as follows:  The need to spread information rapidly through any media to engage people’s interests. To stay connected and build networking with members and professionals in the related working field areas. To help others outside the organization.   That is all how to set up an organization in Indonesia. Furthermore, you can learn how to set up a foreign company in Indonesia. If you need an assistant, you can contact us for more details. 

Are you on the journey to register your business in Indonesia? You’re in the right place!  Navigating the registration process as a foreigner in a new country might seem like a daunting task, but fear not – we are here to help you.  Here, we will walk you through the requirements, process, and essential tips for a smooth entry into Indonesia’s dynamic business landscape.  Types of Business Entities in Indonesia Choosing the right type of business entity is crucial, not only to comply with local regulations but also to protect personal assets. There are numerous business entity options available in Indonesia based on specific needs and preferences: PT Local PT (Perseroan Terbatas) is a limited liability company established and owned by locals (individuals, companies, or foundations).  A small company (Perorangan/individual) with IDR 5 billion maximum capital can have only one local shareholder, who also acts as the director. A company with IDR 50 million to unlimited capital must have two minimum local shareholders. Plus, have one minimum commissioner and director.  Even if you are a foreigner, you can still be a company director for a local company. But, there are certain job positions where foreigners are restricted, such as human resources director. Representative Office If you plan on doing business market research before generating revenue in Indonesia, setting up a representative office is the route for you.  It is the fastest way to establish your foreign business entity in Indonesia with no capital required. PT PMA  As a foreigner, if you want to be a shareholder or generate revenue in Indonesia, you should register your business as a PT PMA.  PT PMA (PT Penanaman Modal Asing) is usually known as a foreign-owned company. It is a limited liability company which allows foreign direct investment. Besides taking control of your business, there are other benefits to PT PMA registration. It includes but not limited to: Starting operational preparations Getting work and stay permits for your foreign employees Purchasing assets under the company name Getting industry licenses  Registering your products   Ownership of Foreign-Owned Company In a significant shift due to the Indonesian Omnibus Law, the government has made most business classifications on the Indonesia Positive Investment List available for 100% foreign ownership. The business classifications include sectors in the digital economy, energy, infrastructure, and tourism. Moreover, there are 46 business lines open with partial restrictions for foreign ownership and 51 lines that need partnership with cooperatives and MSMEs. But, there are still sectors closed for foreign ownership. Be informed on the business line you are interested in, and let Sam Consulting guide you through the evolving landscape of business ownership in Indonesia.   Risk-Based Business Licensing In addition to relaxing restrictions on foreign investment, the Indonesian government has also introduced a Risk-Based Business Licensing procedure. The risk level associated with your business, based on its potential hazards, determines the requirements for business licenses.  The government will conduct a comprehensive risk analysis which comprises of: Identifying the relevant business activity Assessing the hazard level;  Assessing the potential for the occurrence of any hazard Determining the risk level and business scale rating Determining the type of business licensing. Afterward, the government will classify your business activities into one of the following risk-level categories. Low-risk businesses Medium-low risk businesses Medium-high risk businesses High-risk businesses. This procedure benefits low and medium-risk businesses. Ultimately, if your business has a lower risk, you will have less complex licensing requirements. Requirements for Foreign-Owned Company Registration To start registering your foreign-owned company in Indonesia as a foreigner, prepare the requirements below: Company’s Business Classification Your business activities must match the classification listed in the Indonesian Standard Business Classifications and the Positive Investment List. This will help you know if your company can be 100% owned by foreigners, partially owned, or closed to foreigners. Let us know your company’s business activities, and we will double-check to make sure your business classification matches your intentions.  Company Name When naming your foreign-owned company, you can use English or non-Indonesian language. But, make sure that the name has not been used before and is not similar to other registered names unless allowed by the name owner.  Follow the pointers below to meet the standard:  Contain at least three words with no obscene or misleading words Cannot have words that mean company or legal entity such as Ltd, Sdn, or Associate Written in Roman Alphabet with no numbers, special characters, or a mix of both. Company Structure Shareholders There must be at least two shareholders with either a mix of local and foreign national or 100% foreign-owned. A public notary must approve its Articles of Association. The share of a foreign-owned company is subject to the Positive Investment List of the Indonesia Investment Coordinating Board (BKPM), which varies depending on the business classification allowed. Commissioners and Directors The company must have one commissioner and one director minimum. The local or foreign commissioner oversees directors and ensures company activities align with its objectives and comply with the law and regulations.  One of the directors must hold an Indonesian tax card (NPWP). The Indonesia Investment Coordinating Board (BKPM) recommends having at least one local director. If all directors are foreigners, they must obtain a stay permit (KITAS or personal domicile letters) and work permits.  The general meeting of shareholders (RUPS), responsible for company management, elects the directors. Then, they can legally represent the company, sign contracts, and handle taxation documents. Company Domicile and Capital Domicile Ensure your foreign-owned company has a verified location supported by a domicile letter. It should be an unrestricted area based on its business activities.  Capital There is a minimum required capital of IDR 10 billion, excluding the investment value of land and buildings. The paid-up capital needed is 100% of the minimum required capital, which makes it IDR 10 billion or higher, depending on the business classification. The Capital is not required to be deposited during the process of establishing the company, however, it should be gradully inserted in the

  Introduction to KITAP KITAP (in English: permanent residence permit card) is a stay permit given to foreigners who want to stay in Indonesia for a long time. It is valid for 5 years and can be extended continuously as long as the residence permit is not revoked. Even you have to apply for a new KITAP, you do not have to extend your visa because it is automatically extended.   Way to Get the Ultimate Stay Permit KITAP Furthermore, to get a KITAP, it is required to held a KITAS and having extended it multiple times before applying for KITAP.   Check If You Are eligible for KITAP?   Since KITAP will give you so many advantages during your stay in Indonesia, not all people are eligible to apply for this stay permit. You are eligible to hold KITAP if you are: Married to an Indonesian citizen. An investor, director, or commissioner in an Indonesian Company. Planning to retire in Indonesia. An Indonesian regaining your citizenship. Requirements to Get KITAP In addition, if you are willing to get KITAP, here are the requirements: obtained a KITAS (limited stay permit) and had extended multiple times (6 years in total). have a sponsor. If you are married to an Indonesian, your spouse will be your sponsor. working with the same Indonesian company for five years in a row in the same position. for retirees, should have no work intention in Indonesia.   Documents You Need to Get KITAP   Besides the requirement you need to fulfill, there are some documents needed. They are: Passport (active for at least 18 months). KITAS. Sponsor letter. Indonesian ID (KTP) of your sponsor. Tax obligation main number (NPWP). Statement letter stated you have no work intention in Indonesia (for retirees). work permit (IMTA) and the legal documents of the sponsoring company (for foreign investors). The application process approximately takes 3 months.   Can KITAP Holders Work in Indonesia? Only those married to an Indonesian and who work as professionals in Indonesia have the right to work in Indonesia. There are some restrictions that apply for KITAP holders to work in Indonesia: First, the applicant only can work for a company if the company obtains the work permit for the applicant (IMTA) Secondly, spouse KITAP holders, they can choose to start a business as a sole entrepreneur without hiring anyone.   How to Apply for a KITAP? Even the application requirements differ, having a sponsor is a must for all KITAP applicants. The sponsor can be an Indonesian spouse, a PT PMA company, or an agent. To apply for KITAP, retirees and foreign investors need the same documents for the application. They consist of: 1. Passport. 2. KITAS. 3. Sponsor letter. 4. Indonesian ID (KTP) of the sponsor. 5. Tax Obligation Main Number (NPWP). 6. Foreign investors also need to bring their work permit (IMTA) and the legal documents of the sponsoring company.   Benefits If You Hold a KITAP There are some benefits if you hold a KITAP. Here they are: Indonesian ID with a validity of five years. Local driver’s license (SIM) with a validity of five years. Bank account. Credit card. Loan. Local prices to tourist attractions. MERP with a validity of two years, allowing you to enter and exit the country as you like. If you are married to an Indonesian, you are eligible for a joint ownership over a property.   The Types of KITAP Do you know the types of KITAP? There are three types of KITAS as follows: Spouse KITAP It must be proven that the applicant is already married with an Indonesian for at least 2 years. If the marriage process was held abroad, Surat Nikah or Marriage Letter notification from the Indonesian Embassy is needed. In addition, this also means that the applicant does not need to held a KITAS to apply for a KITAP under these circumstances.   Foreign investors, directors, and commissioners KITAP KITAP can also be applied by applicants who work as directors or commissioners in the same Indonesian company for the last four years in a row. Requirements that must meet before an applicant can apply for KITAP are : 1. Applicant must have a work permit (IMTA) 2. Hold a limited stay permit (KITAS) It is important to notice that the job position of the applicant must not have changed during the period required. Applicant must prove the eligibility with the required supporting documentation.   Retirement KITAP To spend retirement in Indonesia is a big dream of retirees all over the world. To apply for KITAP, retirees must be over 55 years old and willing to commit to not working during their stay in Indonesia.   Sponsorship for KITAP in Indonesia What is Sponsor? Law Number 6 of 2011 concerning Immigration regulates the definition of sponsor or guarantor. A guarantor is a person or corporation that is responsible for the presence and activities of foreigners while in the territory of Indonesia.   Who Are Eligible to be a Sponsor? Based on the laws and regulations in Indonesia, there are three legal subjects that can become sponsors for foreigners who want to stay in Indonesia. The guarantor and sponsor have a very important position in the visa process. Spouse of foreign citizens who will come to Indonesia, in the case of mixed marriages. Foreign nationals who are married to Indonesian citizens can obtain guarantees from their spouses who are Indonesian citizens. Spouses of Indonesian citizens can be the person in charge of regular visas. Every Indonesian citizen can also become a guarantor or sponsor of a visa for foreign citizens. Visas that can be sponsored by ordinary Indonesian citizens are Visa on Arrival and Repatriation Visa. Repatriates are foreign ex-Indonesian citizens who wish to live in the Indonesian Territory. Indonesian companies can also become sponsors or guarantors for Foreign Workers (Foreign Citizens who come to Indonesia with the aim of working). However, not all Indonesian companies can become sponsors or guarantors for