Income tax on rent, worked example, in Indonesia
| Non-resident couple´s rental income1 | ||||
| Monthly Rental Income2 | 1,500 | 6,000 | 12,000 | |
| Annual Rental Income | 18,000 | 72,000 | 144,000 | |
| = Taxable Income | 18,000 | 72,000 | 144,000 | |
| Income Tax3 | ||||
| Flat Rate | 20% | 3,600 | 14,400 | 28,800 |
| Annual Income Tax Due | 3,600 | 14,400 | 28,800 | |
| Tax Due as % of Gross Income | 20.00% | 20.00% | 20.00% | |
| Source: Global Property Guide |
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Notes
1 The residential property is jointly owned by husband and wife.
2 Exchange rate used: 1.00 US$ = 13,300.00 IDR
3 Nonresident foreigners deriving rental income in Indonesia are subject to a 20% income tax rate levied on the gross income, without any deduction for depreciation expense and other income-generating expenses.