Investor Visa / Investor KITAS – Who is it for and what are the benefits?
One of the most off-putting things about obtaining a visa in Indonesia is the cost of the work permit – particularly for new business owners!
However, in 2019 the Indonesian Government relaunched the Investor Visa / Investor KITAS making it significantly easier to obtain, as well as make some huge financial savings.
In this article we interview Suri Mangiwa, a Visa and Immigration Expert at LetsMoveIndonesia who tells us all about it!
LMI: Firstly, what is the Investor KITAS and when was it introduced?
SM: The Investor Visa / Investor KITAS is a visa specifically designed for business investors in Indonesia, allowing them to live and manage their business within the country with relative ease.
Although, the Investor KITAS has actually been in effect since 2011 based on Law Number 6 Year 2011 and later edited again in 2018; it wasn’t till the rebranding in 2019 significant changes were noted – making this KITAS type one of the most popular Visa’s to possess in the country.
LMI: What are the advantages of picking an Investor KITAS over a Working KITAS?
SM: According to the subsequent BKPM amendments to the Presidential decree BKPM no.5/2019, Indonesia offers further benefits to Investors residing in Indonesia. Prior to this regulation issuance it was necessary for Investors to apply for a Working KITAS (Index code 312), along with a working permit which costs US$1200 per year, as a mandatory fund.
Consequently, due to this amendment, Working Permits are no longer necessary for Investor KITAS holders – reducing the Visa outlay by US$100 per month/$1200 per year.
LMI: How much money do people generally save by picking an investor KITAS over a Working KITAS?
SM: If you are eligible for an Investor KITAS, you can save a small fortune. The Investor KITAS is available with 2 term lengths, 1 year and 2 years.
As an example, by picking the 2-year Investor KITAS you will save US$2,400 over the term because of the non-compulsory DPKK fund as well as yearly KITAS processing and associated costs.
On average, our customers save approximately 40 Million IDR over the course of the 2-year visa!
LMI: Who can apply for an investor KITAS?
SM: Before an Investors KITAS can be obtained, the company’s authorized capital should exceed 10 billion rupiah and there should be a minimum of 25% of its authorized capital paid up. For companies that were set up prior to 2009, a lower capital investment is possible. Finally, an investor should first have a minimum value of 1 billion rupiah in personal shares invested in a PMA company and hold a title of either Director or Commissioner.
As an Investor that holds no position in a PMA company, but with personal shares of over IDR 1.125.000.000 (one billion, one hundred and twenty-five thousand rupiah), you will also be eligible to apply for an Investors KITAS, however work is not permitted.
LMI: Can you work using an investor KITAS?
SM: If you are an Investor that is stated as a Director, you are allowed to work while holding an Investor Kitas. This is stipulated in Manpower regulation ‘’Permenaker No. 10 Year 2018 on Article 10, Article 22, and Article 26 point C.
If an Investor is stated as a Commissioner, you are not allowed to work – but you can still get the facility of maximum 2 years stay permit. If you, as a Commissioner, also want to be allowed to work, you will need to have minimum IDR 1,125,000,000 (one billion, one hundred and twenty-five thousand rupiah) share ownership of the company.
LMI: Is the investor KITAS renewable or do you need to cancel it once the term is up?
SM: Yes, it is renewable.
LMI: Is it possible to obtain an Investor KITAP?
SM: Yes, it is possible.
LMI: Can a company apply for more than 1 Investor KITAS?
SM: Yes, 1 company can apply for more than 1 Investor KITAS as long as the foreigner’s shares are stated in the Deed of Establishment of the Company and the shares are a minimum 1 Billion IDR.
LMI: Can the Investor KITAS support dependent visas?
SM: The Investor KITAS can support dependents.
LMI: What is the process and how long does it take?
SM: Since the Recommendation Letter from BKPM is no longer needed, the Investor KITAS application has become quicker than it used to be. Now we can apply using the online system, directly to the Immigration authorities and in a matter of days, your E-Visa should be granted.
Up until October 2020 all visas were processed in Indonesia and what was known as a TELEX was sent to an Indonesian Embassy overseas. Due to the Covid pandemic, the Indonesia government introduced E-Visas to mitigate risk of spreading the virus. Visa costs to the government which were previously paid to the Embassy are now paid at application stage in Indonesia.
Check out the picture below to find out more about the E-Visa.
Once you’ve entered Indonesia, you need to convert your VITAS to Investor KITAS. This process will approximately take 10-14 working days. After you submit your passport to the immigration office, you will get a schedule for a biometric session and then wait for the final steps of conversion. After the process, you will receive your New Investor KITAS which allows you to live and manage your company in Indonesia.
LMI: What documents do you need to process the Investor KITAS?
SM: The documents required include:
- Investor’s passport with minimum 18 (eighteen) months validity for 1-year KITAS application
- Company’s deed of establishment and its amendments (if any)
- Ratification from the Ministry of Law and Human Rights (MoLHR) of company sponsor / SK Kehakiman Pendirian Perusahaan dan Perubahannya (if any)
- Tax Registration Number (NPWP) of company sponsor
- Business Domicile
- Business License
- Business Identification Number (NIB)
- ID Card (KTP) and Tax ID (NPWP) of the Indonesian Director of company sponsor (if needed)
- Blank document with company’s letter head
- Bank account statement with minimum balance USD 1500
Please note that the duration granted is based on the applicant’s passport validity – with a with a minimum 18 months validity, you will only be granted a 1 year Investor KITAS, whereas if you have more than 30 months validity, you can obtain a 2-years KITAS.
How much does the Investor KITAS cost?
SM: There are 2 options for the Investor KITAS, a 1-year and a 2-year KITAS. In Jakarta our prices are 15 Million IDR for the 1-year KITAS and 18 Million IDR for 2-years. Most people opt for the 2-year option as it provides security and increases overall saving over the term of visa.
LMI: If someone has any questions or needs to know more, how can they contact you?
If you have any further questions you can reach me at email@example.com or T: 021 300 297 27
If you are looking to process your next Visa or need help with your Relocation, Company Establishment or Real Estate needs, then contact LetsMoveIndonesia – Indonesia’s Most Trusted Agency! T: 021 300 297 27 E: firstname.lastname@example.org
Found this article interesting? Then check out these other useful guides about Visa and Company Establishment processes in Indonesia!
Why use LetsMoveIndonesia to help with your visa?
Over the past few years, we have helped thousands of expatriates from all over the world with their Immigration, Company Establishment, Real Estate and Relocations needs.
Commonly referenced as Indonesia’s Most Trusted Agency, we have achieved notoriety by being the first agency in Jakarta to advertise our Visa & Company Establishment prices both on and offline. We believe in ethical practices which means we are completely transparent about our prices – We don’t charge people different prices based upon their nationality, our sales targets or how rich you or your company appears to be – Everyone pays the same.
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