Tax on Selling Leasehold Property in Bali for Foreigners: 10%, Not 20%

If a foreigner bought a house or apartment in Bali not as freehold ownership but on a long-term lease, this is called Hak Sewa. And later they decide to resell that house. In this case, the tax on the sale is 10% of the transaction amount. It is like when you sell something you own and the state takes a small percentage of your profit. Some people get confused and say that you need to pay 20%, but that is not true. That 20% applies to completely different cases: for example, when a foreigner earns income in Indonesia that is not related to real estate. A simple example: Vasiliy bought a leasehold villa for 30 years for $100,000. After 5 years, he sells this contract to John for the same $100,000. He pays $10,000 in tax (10%), and everything is fair and legal. And 20% here is a myth.