Taxes for expats in Indonesia

No idea about expat taxes as I am retired. But many years ago I bought two cartons full of British food from a couple of online food stores in the UK and ended up paying 40% import tax. Now I just buy British food and ingredients whenever I visit the UK or in Malaysia where many supermarkets there are selling products from Waitrose, Morrisons, Sainsbury's etc. Also M&S no longer sell food products here in Indonesia but they still sell it in Malaysia.

One point. Income tax is easy. You have to get a tax number, but your employer does the hard work, and your employer looks after tax dedications.

There may or may not be a tax form to fill in, but your employer will help you with that.

No idea about expat taxes as I am retired. But many years ago I bought two cartons full of British food from a couple of online food stores in the UK and ended up paying 40% import tax. Now I just buy British food and ingredients whenever I visit the UK or in Malaysia where many supermarkets there are selling products from Waitrose, Morrisons, Sainsbury's etc. Also M&S no longer sell food products here in Indonesia but they still sell it in Malaysia. - @wyngrove60

Import duties are a bit  of  a  game, especially on things like cars and  other  luxury items.

Whilst I admiit to an odd  craving for baked beans, I mostly eat Indonesian offering.

I pretty much gave up on imported stuff for two reasons:

1. The taxes make  it expensive
2. Local food is commonly better

Baked beans (Heinz) and a few other brands can be found in some supermarkets. Some brands are not bad and a lot cheaper than Heinz. I got one of the large supermarkets in Bandung to order Branston Pickle and Bisto but they only got the powdered form and not the granules which is easier to make.

Agree about local food being better, it's what we eat most of the time, but sometimes it's nice to eat other foods. My son adores Cottage pie as do I, so getting Bisto gravy granules and Oxo cubes is pretty important for us.

I miss pies, and Bisto.

I buy them on the odd occasion but I haven't had either in years.

Local gravy bands don't measure up to Bisto very well.

There goes the downside of import duties.

Baked beans (Heinz) and a few other brands can be found in some supermarkets. Some brands are not bad and a lot cheaper than Heinz... - @wyngrove60

Ditto for Vietnam on the Heinz baked beans.

I generally don't eat baked beans much anymore, I don't want to be farting all the time.

I generally don't eat baked beans much anymore, I don't want to be farting all the time. - @wyngrove60

My hard but not impossible to find imported Heinz are expensive when compared to local products, but they taste great.

The local ones require a sauce of some whatever sort to make them more interesting.

If I want BBQ beans, the local ones are fine but, if I intend to eat unadulterated ones, I have to live with paying a premium caused by transport and tax.

It's a choice that applies to a lot more products.

I generally don't eat baked beans much anymore, I don't want to be farting all the time. - @wyngrove60

This brings us to my favourite Marks and Sparks underwear. I pay three or four times to price that I would for local products, due mostly to import duties, but that extra cost is fine when quality means longevity.

Again, we are down to choices.

However, there are very few imported products that draw heavy duties in my house. The vast majority of my stuff is either local or Chinese.

@Cheryl

As an expat, I’ve found that understanding the NPWP (tax ID) and residency rules is key. - @kamilazahra92

If you have an employer, the only things you need to know are:

NPWP is a tax number. This is now the same as your NIK.

Your employer has completed all the paperwork and got you a tax number

Your employer has paid your tax

Your employer should give you all the required information to fill in a yearly online tax return, but they will very likely either do it for you, or help you fill it in.

If you do not have an employer, you need to:

Know NPWP is a tax number

Go to a local tax office to get a number (can be online, but you'll find the tax people are very helpful and will sort everything out for you)

Keep records of income and, if it is taxed in another country, records showing tax payments there.

If it is bank deposits here, records from the bank showing you have already paid tax on the interest

Fill in your yearly tax return. This is normally online, but your local tax office will help you.

Unless you have a business or a very large income, no help past the tax office will be required.

Be very careful of people offering tax services - They are generally an expensive waste of time.

If you are importing things from the home country, be aware your goods might be taxed in an epic way when they enter Indonesia. Bringing your car, or even baked beans, is likely to be very expensive.