Indonesia Reviews New Visa and Tax Rules for Digital Nomads in Bali
Indonesia's Directorate General of Immigration is reviewing work visa rules and considering new tax regulations for foreign digital nomads amid their growing presence in Bali. Officials say existing laws assume local employment, creating regulatory gaps for remote workers earning income from overseas employers. No formal policy has been finalized yet.
Director General of Immigration Hendarsam Marantoko said during a press briefing on Wednesday (August 12) that authorities are reviewing work visa rules and considering new tax regulations for the growing number of foreign digital nomads working from destinations such as Bali.
Digital nomads generally refer to individuals who work independently using digital technology, completing tasks remotely while based in various locations. According to Hendarsam, these foreign remote workers create regulatory challenges because they physically reside in Indonesia while working for employers based overseas. Existing work visa rules assume local employment, leaving a gap in how such workers should be treated under domestic tax and labor law.
He acknowledged that while digital nomads contribute to local housing, dining, and service sectors, concerns remain over residence permit violations, overstaying, and untaxed economic activity.
A joint study is currently underway covering potential tax mechanisms and enforcement measures for foreign remote workers. Hendarsam said any formal policy changes will only be announced once the study is completed, and asked for public and media support as the government works toward a clearer legal framework.
Things to Consider
Since no formal policy changes have been announced yet, digital nomads currently in Bali should ensure their existing visa or permit accurately reflects their actual activity, especially if working remotely for overseas employers. Keep checking official updates from Indonesia's Directorate General of Immigration or trusted local sources regarding upcoming tax or visa rule changes. Avoid overstaying or working outside the scope of your current permit, as enforcement actions are possible; those planning extended stays should consult a licensed immigration agent or lawyer in Bali.
Source: ANTARA Mataram