{"id":23027,"date":"2016-08-16T12:24:48","date_gmt":"2016-08-16T05:24:48","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/property-news\/will-indonesia-be-se-asias-new-tax-haven-paradise\/"},"modified":"2016-08-16T12:30:43","modified_gmt":"2016-08-16T05:30:43","slug":"will-indonesia-be-se-asias-new-tax-haven-paradise","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/will-indonesia-be-se-asias-new-tax-haven-paradise\/","title":{"rendered":"Will Indonesia be SE Asia\u2019s new tax-haven paradise?"},"content":{"rendered":"


\nSeveral islands in Indonesia and Malaysia may share the spotlight with Singapore
\nDawn over Bintang, Indonesia. Image credit: julfran (Flickr)
\nTo meet its infrastructure targets and bridge a growing budget deficit, the Indonesian government is discussing the possibility of establishing tax haven jurisdictions in two of its islands.
\nCoordinating Maritime Minister Luhut Panjaitan announced on Sunday that the government would allow Indonesian and foreign businesses to form shell companies in the islands of Bintan and Rempang, roughly\u00a060 kilometres from Singapore.
\nBusinesses are often known to create shell companies in Singapore, where foreign investors can domicile businesses and pay little to no taxes.
\nSingapore ranked fourth in the maiden Financial Secrecy Index by the London-based lobby Tax Justice Network, which ranks jurisdictions according to their secrecy and the scale of their offshore financial activities.
\nNearby in Malaysia, the island of Labuan is also angling for tax haven status with the proposition of taxing profits at just 3 percent.
\n\u201cThis is actually a good idea for Indonesia, particularly with the tax amnesty program already underway,\u201d Panjaitan told The Jakarta Globe.
\nMore: Lower transfer fees aim to reinvigorate Indonesian property market
\nThese plans are in keeping with the government\u2019s tax amnesty program, designed to lure back IDR560 trillion rupiah (USD43 billion) in capital from abroad toward real estate investments and gold. The central bank has estimated that IDR1,000 trillion (USD76 million) may flow abroad yet again after the management of the funds expires after three years under the terms of the amnesty.
\nPanjaitan told Bloomberg the plans for the tax havens are \u201cstill in early stage\u201d and that \u201cthe government still needs to discuss the technical aspect of it.\u201d
\nThe creation of the tax havens would also need revisions to the existing taxation code and the streamlining of bureaucratic processes.
\nPresident Joko Widodo\u2019s administration has been initiating measures to shore up government revenues for infrastructure projects amid a slowing Chinese economy and faltering commodity values.
\nThe rupiah, the third-best performing currency in Asia so far in 2016, strengthening to 5.1 percent this year.
\nRead next: Why Indonesia\u2019s millennials are demanding more from real estate
\n
\nSource : property-report.com
\nRead more…Will Indonesia be SE Asia\u2019s new tax-haven paradise?<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Several islands in Indonesia and Malaysia may share the spotlight with Singapore Dawn over Bintang,...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-23027","post","type-post","status-publish","format-standard","hentry","category-property-news"],"jetpack_featured_media_url":"","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-5Zp","jetpack-related-posts":[{"id":29481,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/the-joy-of-tax-3-things-weve-learned-about-real-estate-taxes-in-indonesia\/","url_meta":{"origin":23027,"position":0},"title":"The joy of tax: 3 things we\u2019ve learned about real estate taxes in Indonesia","date":"October 11, 2016","format":false,"excerpt":"\r Tax amnesty, tax havens and luxury taxes in Indonesia \u2013 it\u2019s all going on Africa Studio\/Shuttershock Tax, the second most interesting word in the English language ending with \u2018x\u2019, is cropping up in Indonesian property news a lot lately. With current growth figures nothing to celebrate \u2013 a far\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":28767,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/singapore-home-market-unaffected-by-indonesian-tax-amnesty-2\/","url_meta":{"origin":23027,"position":1},"title":"Singapore home market unaffected by Indonesian tax amnesty","date":"October 6, 2016","format":false,"excerpt":"\r Lower than expected liquidation since the introduction of the tax amnesty program The implementation of the Tax Amnesty Scheme (TAS) in Indonesia has not had any material impact on Singapore\u2019s residential segment, said Credit Suisse in a report. Credit Suisse noted that Indonesians have historically been amongst the largest\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":27891,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/singapore-home-market-unaffected-by-indonesian-tax-amnesty\/","url_meta":{"origin":23027,"position":2},"title":"Singapore home market unaffected by Indonesian tax amnesty","date":"September 30, 2016","format":false,"excerpt":"\r Indonesian property holdings in Singapore have seen lower than expected\u00a0liquidation since the introduction of the TAS. The implementation of the Tax Amnesty Scheme (TAS) in Indonesia has not had any material impact on Singapore\u2019s residential segment, said Credit Suisse in a report. Credit Suisse noted that Indonesians have historically\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":23703,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/invest-in-real-estate-tax-amnesty-participants-in-indonesia-urged\/","url_meta":{"origin":23027,"position":3},"title":"Invest in real estate, tax amnesty participants in Indonesia urged","date":"August 23, 2016","format":false,"excerpt":"\r Or face \u201chell,\u201d Finance Minister warns View of Surabaya City, Indonesia. Image credit: Andreas Hie\/Shutterstock Those granted amnesty under the Indonesian government\u2019s program of tax repatriation are being encouraged to pour their money back into real estate. At a seminar in Jakarta on Friday, Financial Services Authority head Muliaman\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":22506,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/four-reasons-why-indonesians-invest-in-singapore\/","url_meta":{"origin":23027,"position":4},"title":"Four reasons why Indonesians invest in Singapore","date":"August 10, 2016","format":false,"excerpt":"\r Singapore has long been popular with Indonesian investors. Robertson Blue Condominium along Singapore River. Image credit: commons.wikimedia Wealthy Indonesians have long had an interest in collecting real estate in neighboring Singapore. In 2014, Indonesia accounted for 24 percent of Singapore\u2019s property purchases, and while foreign investments in general slowed\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":26067,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/more-indonesians-buying-luxury-singapore-real-estate\/","url_meta":{"origin":23027,"position":5},"title":"More Indonesians buying luxury Singapore real estate","date":"September 14, 2016","format":false,"excerpt":"\r Indonesians have already bought 30 properties in Singapore valued at USD5 million or more this year, up from just eight for the whole of 2015, data shows Singapore skyline. beboy\/Shutterstock The number of Indonesian nationals purchasing luxury homes in Singapore has nearly quadrupled from last year\u2019s total, reported Bloomberg.\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/23027"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=23027"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/23027\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=23027"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=23027"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=23027"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}