Last Updated
Having sealed off its borders for foreigners throughout Covid, Indonesia is now hoping to lure them back with the launch of a new long-stay permit. Dubbed the Digital Nomad Visa, this new entry stamp will create more immigration routes for remote workers who might want to make Bali their home base – all the while paying no tax in the country.
Yes, you read that right.
If you’re making a living online, and has quit the 9 to 5 office life, like many have over the course of the pandemic, you will soon be eligible to apply for staying in Bali for half a decade. As if that wasn’t tempting enough, you even get to keep all the money you earn while exploring the island’s natural wonders. Sounds pretty amazing, right?
Here is how it will work:
Applicants Can Stay In Bali For A Half A Decade Without Being Taxed
After scrapping the testing requirement for vaccinated visitors, Indonesia is going a step further in promoting itself as an ideal destination for long term travel. Acknowledging that 95 per cent of digital nomads claimed the country as their preferred destination, the Indonesian Tourism Minister Sandiaga Uno has finally signaled it is time to open that path.
In an interview with Bloomberg, Mr. Uno confirmed the launch will indeed be going ahead now that Indonesia has removed its once-stringent border controls and flights were reinstated. After two years of eerily deserted wellness retreats and beaches, Indonesia’s trendy islands could receive up to 3.6 million travelers once the system is in place.
According to the Tourism Minister, the country’s goal is to lure ‘longer-staying, higher-spending travelers’, as opposed to the usual backpacker profile who may interested solely in Indonesia’s party scene. Like Thailand, yet another Southeast Asian seeking to avoid the return of overtourism, Indonesia is favoring quality over quantity.
In Mr. Uno’s own words, in the past the ‘three S’ were Sun, Sea, and Sand. Now, the country is changing strategy and rebranding itself as Serenity, Spirituality, and Sustainability destination. Instead of nightclubs and beaches, the Tourism Ministry is hoping to renew interest in ecological tourism and wellness.
The fact that the new visa would allow applicants to retain their full income, without paying any taxes so long as it does not originate from an Indonesia-based business, also makes it particularly appealing. After all, a majority of digital nomads have opted to travel continuously while not being bound by any specific country’s tax regulations.
Indonesia Is Pushing For More Sustainable Tourism Moving Forward
Attempting to boost the local economy, the Minister is wooing digital nomads who share in the nation’s mindset and relaxed lifestyle, and who are not mere thrill-seekers. Although all are welcome to return to Bali, the Minister’s bets are on the new visa category, capable of diversifying Indonesia’s demographics and generating over a million jobs for locals.
Although it all sounds very promising, a specific launch date has not yet been announced, or further details, such as a minimum income or whether travel insurance will be mandatory. Considering all other countries offering Digital Nomad Visas have at least a financial requirement in place, Indonesia will likely establish similar thresholds.
What Are The Usual Requirements For Digital Nomad Visa Applicants?
In Costa Rica, applicants must have a stable income of at least USD 3.000 per month, while providing proof of a health insurance policy valid for the entirety of their stay. Meanwhile in Barbados, digital nomads can only apply after proving they make at least USD 50.000 per calendar year, with 100% of the earnings linked to foreign sources.
Croatia, one of the first countries in Europe to have offered this kind of visa, again requires a minimum income of roughly USD 2.540,00 dollars, or HRK 16.907,50 in Croatian Kuna, the local currency. Costa Rica, Barbados and Croatia are 3 out of 7 other sunny destinations offering Digital Nomad Visas in 2022 – a list Indonesia will sooner rather than later.
Over in South America, other countries like Argentina and Brazil are also gearing up to launch their own long-term traveler visa, proving this is a growing trend among developing nations eager to kick-start their economy again following Covid. If you would like to read more about Digital Nomad Visas, make sure you visit this page.
Read More:
Travel Insurance That Covers Covid-19 For 2022
Romania And Hungary Launch New Digital Nomad Visas
Italy Planning To Launch A Digital Nomad Visa
Riu To Open Two New All Inclusive Resorts In Cancun This Year
Your Phone Could Be Searched When Entering Canada With New Proposed Law
Traveler Alert: Don’t Forget Travel Insurance For Your Next Trip!
↓ Join Our Community ↓
The Travel Off Path Community FB group has all the latest reopening news, conversations, and Q&A’s happening daily!
SUBSCRIBE TO OUR LATEST POSTS
Enter your email address to subscribe to Travel Off Path’s latest breaking travel news, straight to your inbox.
This article originally appeared on TravelOffPath.com
Rich
Wednesday 24th of August 2022
Can someone explain to me the tax situation as i am really not getting it... it says you can live in Bali tax free as long as your income is from outside of Indonesia. Does this mean that say i am based in the UK that my Uk income would be tax free? I'm not clear how Indonesia would influence that income, so it can't be, sp are they saying i would be tax free in Bali? But then why would i pay tax on my salary in Bali when my income is from overseas? Slightly confused by this - massively appreciated if someone could clarify this, please :D
Martin
Sunday 28th of August 2022
@Rich, You would move your official residence to Bali and tell the UK tax authorities: "Bye chaps, I've moved on and no longer live here, here is proof I live in Bali instead". You would def want to involve a UK tax professional in the process. Lets see what Bali proposes first.
Timetraveller
Friday 24th of June 2022
None of the horrible snobby globalist controlled leaders in any of these Countries seem to understand that "backpackers" which really means real people that can live on $500 a month and up , actually spend their money with the folks that need it most. Low end is low end. I guess Us low end People , on both sides , are all just sheit out of luck. I just ate lunch in the mercado in Latin America. I seem to spend about $700 a month. I can easily do that in Bali now in places I know if they would just leave Me the hell alone. Funny because the people I spend with where I sleep and eat seem to really appreciate Me and for more than money.High end living is much less personal and real yes or no Friends? Cheers.
Jay
Thursday 7th of July 2022
@Timetraveller,
I tend to agree with you. Fact is that so-called 'low-end' travelers popularized these destinations and helped grow local economies. Sure thrill-seeking tourists (as this articles calls them) also engage in behaviors that are sometimes incompatible with local cultures such as loud parties, alcohol consumption, drug use, sexual promiscuity etc. But this can be corrected by media that sensitises travelers to different cultures. This upscale approach is being applied the world over and it is counter-productive. It is going to negatively impact local small and medium enterprises because high-end travelers won't patronize these places. It will also make travel hard for people with fewer means but who would love to see the world. This means that western travelers will be privileged over domestic Asian travelers. Three s'? it is really about three m's- money, money money.
Max Schenkle
Saturday 11th of June 2022
What are the covid vaccine requirements for the digital nomad visa in Indonesia?
Jim
Tuesday 7th of June 2022
They will ask 50k usd deposit in local bank, its not from tourist "Love"