Working as an IT Freelancer in Indonesia with an E31A-Visa

[Bennet77]

Hello everyone,

I’ll be moving to Indonesia in a few months and would like to ask about the current legal framework for working remotely as an IT freelancer for foreign companies (no Indonesian clients or employers involved) while residing in Indonesia on an E31A visa.

From what I understand, the E31A is a spouse-sponsored limited stay visa (KITAS), which allows residency but doesn't automatically grant the right to work locally. However, the situation for remote work seems a bit unclear, so I’d appreciate insights from others with experience.

Here are my main questions:

• Is an IMTA (work permit) required if all my clients are outside Indonesia?
• Do I need to report or get approval from Imigrasi about my remote freelance activities?
• Are there any restrictions or important compliance points I should be aware of (for example, taxation or visa renewals)?

Any first-hand experiences or recent updates from others in a similar situation would be very helpful.

Thanks in advance for your advice and insights!

Best regards,
Bennet

 

[marcus]

... From what I understand, the E31A is a spouse-sponsored limited stay visa (KITAS), which allows residency but doesn't automatically grant the right to work locally ...

Correct .

Is an IMTA (work permit) required if all my clients are outside Indonesia?

A 'work permit' is not applicable in your case . Not named IMTA anymore .

Do I need to report or get approval from Imigrasi about my remote freelance activities?

Although what Immigration states (see below) may not apply to you , I recommend you to talk about it with Immigration to avoid misunderstands in the future .

From https://evisa.imigrasi.go.id/web/visa-selection
Type of Visa E31A - 1 YEAR or 2 YEARS
.....
5. Other information
.....
e. You are prohibited from working by receiving compensation, wages, or any similar from individuals or companies in Indonesia, unless reported to immigration (using the multiple activity reporting process).

Poster's Note : The information above is also applicable to KITAS or KITAP resulted from this Visa .

Are there any restrictions or important compliance pointsI should be aware of (for example, taxation or visa renewals)?

The Indonesian Tax Law requires foreigners to declare worldwide income , but (as far as I know) this has not been enforced in the past for foreigners not having income (other than interest in banks) in Indonesia but don't know now or in the near future .

You could also ask Immigration & the Manpower Department about working informally for a small business which your Indonesian spouse would create for this purpose . It would solve your income tax's possible problem (small businesses pay only 0.5% or 1% of the revenue) and would allow you to have clients in Indonesia too .

See also https://www.expatindo.org/community/threads/remote-work-with-a-spouse-kitas-visa-the-how.7856/

--------------------------------------

I am also sponsored by my Indonesian spouse (but in different situation) , and at my sponsor's Immigration account (at https://evisa.imigrasi.go.id/front/) , one of the options available for my (K)ITAP is "Change Data" then one of its options is "Concurrent Activity to Remote Worker" , with the requirements below (which are similar to what are needed for the 'Remote Worker Visa/ITAS') . I am not sure but it seems that , if you tell Immigration that you are working for clients abroad , they may want you to also comply with the 'Remote Worker Visa/ITAS requirements . So maybe better you first talk about working for your Indonesia spouse's small business unless you prefer to choose the 'remote worker' option .

.......

1. Document Requirement
   • A valid National Passport that is still valid for at least 6 (six) months;
   • Proof of guarantee from the Guarantor or a statement;
   • Recent color photograph; And
   • Proof of Immigration Guarantee in the form of proof of income in the form of salary or earnings worth at least US$60,000 (sixty thousand US dollars) per year;
   • Proof of work contract with a company that is a legal entity outside the territory of Indonesia.

 

[Bennet77]

Correct .

A 'work permit' is not applicable in your case .

Although what Immigration states (see below) may not apply to you , I recommend you to talk about it with Immigration to avoid misunderstands in the future .

From https://evisa.imigrasi.go.id/web/visa-selection
Type of Visa E31A - 1 YEAR or 2 YEARS
.....
5. Other information
.....
e. You are prohibited from working by receiving compensation, wages, or any similar from individuals or companies in Indonesia, unless reported to immigration (using the multiple activity reporting process).

Poster's Note : The information above is also applicable to KITAS or KITAP resulted from this Visa .

The Indonesian Tax Law requires foreigners to declare worldwide income , but (as far as I know) this has not been enforced in the past but don't know now or in the near future .

You could also ask Immigration & the Manpower Department about working informally for a small business which your Indonesian spouse would create for this purpose . It would solve your income tax's possible problem (small businesses pay only 0.5% or 1% of the revenue) and would allow you to have clients in Indonesia too .

See also https://www.expatindo.org/community/threads/remote-work-with-a-spouse-kitas-visa-the-how.7856/

Thank you for your quick reply and such useful information.

How would you recommend me to contact Imigrasi regarding that matter, and how would you ask them?

Are there possibilities they could prohibit my IT freelance-work while holding E31A, even if indonesien clients aren't included?
Its primarily to provide for my family and Im a bit worried, what if imigrasi doesn't approve?
Thats why I thought about not informing they at all, because as far as I know, there is no obligation to inform imigrasi if the work you carry out is only for clients from abroad.
Correct me if Im wrong.

Any ideas on that?

 

[Bennet77]

Correct .

A 'work permit' is not applicable in your case .

Although what Immigration states (see below) may not apply to you , I recommend you to talk about it with Immigration to avoid misunderstands in the future .

From https://evisa.imigrasi.go.id/web/visa-selection
Type of Visa E31A - 1 YEAR or 2 YEARS
.....
5. Other information
.....
e. You are prohibited from working by receiving compensation, wages, or any similar from individuals or companies in Indonesia, unless reported to immigration (using the multiple activity reporting process).

Poster's Note : The information above is also applicable to KITAS or KITAP resulted from this Visa .

The Indonesian Tax Law requires foreigners to declare worldwide income , but (as far as I know) this has not been enforced in the past for foreigners not having income (other than interest in banks) in Indonesia but don't know now or in the near future .

You could also ask Immigration & the Manpower Department about working informally for a small business which your Indonesian spouse would create for this purpose . It would solve your income tax's possible problem (small businesses pay only 0.5% or 1% of the revenue) and would allow you to have clients in Indonesia too .

See also https://www.expatindo.org/community/threads/remote-work-with-a-spouse-kitas-visa-the-how.7856/

--------------------------------------

I am also sponsored by my Indonesian spouse (but in different situation) , and at my sponsor's Immigration account (at https://evisa.imigrasi.go.id/front/) , one of the options available is "Change Data" then one of its options is "Concurrent Activity to Remote Worker" , with the requirements below (which are similar to what are needed for the 'Remote Worker Visa/ITAS') . I am not sure if the requirements are mandatory for remote workers married with Indonesians , but I guess that , maybe if you tell them that you are a remote worker , they may want you to prove it (so you would be officially under the 2 visas/ITAS situations (spouse of Indonesian + remote worker) . So maybe better you first talk about working for your Indonesia spouse's small business unless you prefer to choose the 'remote worker' option .

.......

1. Document Requirement
   • A valid National Passport that is still valid for at least 6 (six) months;
   • Proof of guarantee from the Guarantor or a statement;
   • Recent color photograph; And
   • Proof of Immigration Guarantee in the form of proof of income in the form of salary or earnings worth at least US$60,000 (sixty thousand US dollars) per year;
   • Proof of work contract with a company that is a legal entity outside the territory of Indonesia.

May I ask what visa do you currently use?

 

[marcus]

How would you recommend me to contact Imigrasi regarding that matter, and how would you ask them?

I would prefer by email (they had 2 : [email protected] & [email protected] but now only the evoa is mentioned) .
Plus , if possible , ask somebody to ask face-to-face to the Kantor Imigrasi at the Indonesian city where you intend to live and/or at the Immigration's main Office at Jl. H. R. Rasuna Said Kav.X-6 Kuningan, Jakarta Selatan .

Are there possibilities they could prohibit my IT freelance-work while holding E31A, even if indonesien clients aren't included?

So according to the revision of my first post , if you first ask about working informally at your Indonesian spouse's small business , I think you would not need to mention the freelance work .
But if you prefer to specifically mention the freelance work , you may be asked to comply with the 'Remote Worker Visa/ITAS' requirements too .

Its primarily to provide for my family and Im a bit worried, what if imigrasi doesn't approve?

Thats why I thought about not informing they at all, because as far as I know, there is no obligation to inform imigrasi if the work you carry out is only for clients from abroad.
Correct me if Im wrong.

Unfortunately although the Immigration Law allow a foreigner with ITAS/ITAP sponsored by the Indonesian spouse to work , there is no Regulation to implement that (as is usually necessary) , so it is up to the Government officers' interpretation . The only well known officers' position on that (as far as I know) more or less recommends foreigners in this situation to inform Immigration in order to provide a case-by-case analysis .

 

[marcus]

May I ask what visa do you currently use?

I got a Retirement Visa long ago , then few years ago I changed the sponsor of my Retirement (K)ITAS (from the travel agent to my Indonesian wife) and now I am already with an ITAP sponsored by my Indonesian wife .

Note : an Indonesian Visa is to enter Indonesia . After we enter using a Visa , we get a Visit Permit or a Limited Stay Permit/ITAS . Then after some years (2 years in our case) with an 'ITAS/Limited Stay Permity' we can get an 'ITAP/Permanent Stay Permit' .

 

[Helpful Herbert]

Here are my main questions:

• Is an IMTA (work permit) required if all my clients are outside Indonesia?
• Do I need to report or get approval from Imigrasi about my remote freelance activities?
• Are there any restrictions or important compliance points I should be aware of (for example, taxation or visa renewals)?

No, no and no.
You might want to consider having your earnings paid into an account outside Indonesia. Immigration really has no interest in what work you are or are not doing if you are on a spouse visa. This isn't their responsibility.

 

[pantaiema]

The Indonesian Tax Law requires foreigners to declare worldwide income , but (as far as I know) this has not been enforced in the past for foreigners not having income (other than interest in banks) in Indonesia but don't know now or in the near future .

It will not be a problem if you have not got caught. I have read a few stories the Indonesian residence get caught and have been summoned by the inland revenue office for renting their house abroad and do not report this income in their annual tax return.

The OP might want to ask clarification about this with the tax office.

 

[marcus]

No, no and no.
... Immigration really has no interest in what work you are or are not doing if you are on a spouse visa. This isn't their responsibility.

You are probably mistaken .

From what I understand from the Law (see below) , Indonesian Immigration is responsible for checking foreigners (in Indonesia) regarding compliance of any Indonesian Law or Regulation . In addition Indonesian Immigration can , for example , deport us easily .


--------------------------------------------

Immigration Law (UU no.6 Year 2011)
Article 75
(1) Immigration officers have the authority to apply 'Immigration Administrative Measures' on foreigners in Indonesia who are conducting dangerous activities and/or are reasonably suspected of endangering public security and order, or who disrespect or disobey Laws and Regulations .
(2) 'Immigration Administrative Measures' as referred to in paragraph (1) can be:
a. inclusion in the list of prevention or deterrence;
b. restrictions, changes, or cancellation of Stay Permits;
c. prohibition to be in one or a few specific places in Indonesia;
d. requirement to reside in a particular place in Indonesia;
e. imposition of fees and / or
f. deportation from Indonesia.
(3) Deportation can also be applied to the foreigners in Indonesia for attempting to avoid the threat and punishment in their country of origin. .

Article 77
(1) A foreigners who is subjected to an Immigration Administrative Measure may file for an objection to the Minister.
(2) The Minister may grant or reject the objection raised ...
(3) This decision of the Minister is final.
(4) Filing for an objection does not delay the implementation of the Immigration Administrative Measure .

-------------------------------------------

"The Directorate General of Immigration has deported 1,503 foreigners during the first semester of 2024 ..."

from https://www.imigrasi.go.id/siaran_p...i-1503-orang-asing-naik-13521-dari-tahun-2023