Bali property taxes: buying, owning, renting, selling (2026)

Taxes on Bali are not complicated once you break them down by deal stage. Here is the full picture for a foreign buyer in 2026 — with rates and who pays. When buying. — BPHTB (buyer's acquisition duty) — up to 5% of value above a tax-free threshold (NPOPTKP: minimum IDR 80M, or from IDR 300M for inheritance). Since 2022 it is a local tax (Law UU HKPD No. 1/2022), so the exact rate and threshold depend on the district (Badung, Gianyar, etc.). — If you buy from a developer — PPN (VAT). The headline rate is 12% from 2025, but ordinary housing uses an 11/12 base, so the effective VAT stays 11% (rule PMK 131/2024). — PPnBM (luxury sales tax) — 20%, but only for luxury homes priced from IDR 30 billion. Most deals are not affected. When owning. — PBB (annual land & building tax) — up to 0.5% of the assessed base (NJKP, derived from the official NJOP value). Also a local tax. When renting out. — Final PPh 4(2) on rent — 10% of gross rent for residents. A corporate tenant withholds it; if the tenant is an individual, the owner pays. — If you are VAT-registered (PKP), VAT (effectively 11%) is added to the rent. — For a non-resident (under 183 days a year in Indonesia), PPh 26 generally applies — 20% at source, but a tax treaty between the two countries can reduce it (check your country's treaty). When selling. — Final PPh 2.5% of the gross transaction price — paid by the seller before the notarial deed. For simple housing from developers it is 1%. Fees (not taxes, but budget for them). — PPAT notary for the deed of sale (AJB) — the legal ceiling is 1% of the transaction (PP No. 37/1998); in practice 0.5–1% and negotiable. — BPN title registration — a small administrative fee. Key things to remember: — after the 2022 reform, BPHTB and PBB are local taxes, so check the exact figures for the specific district (kabupaten), not an "Indonesia average"; — rates change: VAT was raised in 2025 and thresholds are indexed — verify the current rule with an independent tax adviser before the deal; — all the main taxes are tied to the official valuation (NJOP) or the transaction price: under-stating the price in the contract creates risk both on tax and on the security of the deal. Sources: — DJP (Indonesian Tax Authority): https://www.pajak.go.id/en — PwC Indonesia, Tax Summaries (rates and bases): https://taxsummaries.pwc.com/indonesia/individual/other-taxes — Laws: UU HKPD No. 1/2022, UU HPP No. 7/2021, PP 34/2016, PP 34/2017