KITAS has been common knowledge for most expatriate businesspeople. KITAS (which stands for Kartu Izin Tinggal Terbatas or Limited Stay Permit Card). There are two types of KITAS. One is only for foreigners who would like to stay longer in Indonesia. The other one is also known as Working KITAS. Those two are part of KITAS Indonesia.
If you wish to invest in Indonesia, of course, you will need to apply for KITAS first. To avoid confusion between which one is which, let’s take a look at this matter one by one.
KITAS Indonesia: Terms and Procedures
Besides KITAS, there is also another one called KITAP (which stands for Kartu Izin Tinggal Tetap or Permanent Stay Permit Card). Both KITAS and KITAP are applied and submitted to the Head of Immigration Office. Another alternative would be to have them submitted to an appointed Immigration Officer depending on the working area of the expat while in Indonesia.
Who gets to receive KITAS and KITAP?
People who get to receive KITAS Indonesia are:
- Foreigners with “KITAS PMA” or working KITAS for a company (PT PMA) that allows the involvement of foreign workers.
- Students from outside Indonesia.
- Those who perform the foundation duties or serve as clergymen.
- An expert based on the field or sector of their company’s business.
- A partner/spouse (husband or wife) of the KITAS holder.
- Expatriates doing scientific research.
- An incorporation of oneself with the parent of the KITAS or KITAP holder for their child under 18 and still single.
- Children of mixed marriages (one parent is Indonesian, and another one is an expat).
- An elderly traveler.
- Children who are born in Indonesia to both parents who hold KITAS or KITAP.
- Foreigners who used to be Indonesians. (As in, Indonesians who preferred changing their nationality and then moving back to Indonesia for holiday, work, or other purposes.)
- The skipper or crew on a cruise ship in the territorial waters under Indonesian jurisdiction according to the existing laws and regulations.
- Foreigners on a part-time job.
- Foreigners legally married to their Indonesian spouses or partners.
Besides them, foreigners who will only be working for the next 90 days should also obtain a KITAS. The requirement of the time limit might be renewed. The extension can be granted for the 30 days’ maximum and no later than 180 days. As for KITAP, those who get to receive them are:
- Family members from the mixed marriage.
- Husband, wife, or child of the KITAP holder.
- Foreigners who used to be Indonesians due to the dual citizenship from the mixed marriage. (If one of the parents is Indonesian, the child has to choose to stick to one of the two nationalities by the time he or she turns 18.)
- KITAS holders who work as clergymen, investors, workers, and if they are also aged.
- Children from mixed marriage who end up choosing their parent’s nationality that is not Indonesian.
- In some cases, foreigners can receive KITAP directly without going over their status.
- Indonesians who have lost their citizenship in Indonesia.
Working KITAS for Your Work Permit In Indonesia:
Without the working KITAS Indonesia, forget about your business plan to invest in Indonesia. When it comes to employment issues, Indonesia protects their local workers and businesses first. If you are a foreign investor wishing to start a business here, there are some requirements that you must follow.
The requirements for foreign workers are:
- Possessing an educational background that fits with the business field your company is in. (For example: if you wish to work as an English teacher, you must have a teaching education background or be a university graduate with English Literature.)
- Making a statement letter that will transfer your expertise to the Assistant with the proof of report regarding the education and training implementation.
- Possessing an NPWP (which stands for Nomor Pokok Wajib Pajak or Tax Number ID) if you have already worked in Indonesia above six months.
- Possessing an insurance policy proof which possesses legal status in this country.
- Participating in the National Social Security for Foreign Workers if you have already worked above six months.
- Possessing a competence or work experience proof in the form of a certificate based on the chosen occupation. The chosen occupation should be at least for five years.
This may seem like some serious paperwork, but there are other documents that you need to prepare if you wish to obtain your KITAS:
- A copy of your Foreign Workers’ Passport.
- A copy of Judicial Decree.
- A copy of your NPWP.
- A copy of your Foreign Workers’ Diploma.
- A copy of your CV as a foreign worker.
- A certain payment for your Skill Development Funds and Skills.
- A compulsory report of employment. This has to be according to the existing law.
- A companion for foreign workers, which include: a copy of your ID card, email address, and phone number. (It is even better if you have both landline and cellular phone numbers.)
- A photo of you as a foreign worker. The background must be red.
- A Foreign Workers’ Guarantor Company with attachments, include: a copy of your Company Establishment Deed, a copy of your Trading Business License with Foreign Investment Company, A copy of a certificate for your company’s registration, 15 sheets of Company Letter,The Company’s organisational structure, a copy of The Company’s Domicile, and work permit called KITAS Indonesia.
The Draft Use of Foreign Workers
The Procuring Entity allows a proposition to have a Foreign Employment Use Plan. This means, the foreign workers hired can be in certain positions but only for a brief period. Authorized by the Minister or the relevant official, the foreign workers may be granted an extension of five years maximum, depending on the domestic labor market conditions.
The Design of Foreign Workers depends on The Procuring Entity. They can get temporary employment for six months only and – for emergency work – they can get a month.
Then what about VITAS? VITAS (which stands for Visa Tinggal Terbatas or Limited Residence Visa) is a license that all foreign workers must have while working and staying in Indonesia. To apply for it, VITAS must be submitted to the Directorate General of Immigration at the Ministry of Law and Human Rights. You must have an enclosed letter from the guarantor, a copy of the national passport, and another evidence that you have been living and supporting your family while in Indonesia.
To complete the requirements, you must also possess a recommendation letter from a government agency or another agency related to the activities chosen by the Foreign Workers and the guarantor’s data. VITAS recommendation is valid for a couple of months. It can be maintained in a week or seven working days.
Other important documents to maintain your KITAS as a foreign worker include:
- A recommendation for a work permit.
- A report on the presence of the foreign worker.
- A self-report certificates.
- A residence certificates.
- A letter signs report.
- A report on temporary population.
To administer KITAS work permit in Indonesia, get all requirements processed and completed before processing the administration for about 51 days.
- Renewing Your KITAS in Indonesia.
Renewing your KITAS is the only way to keep you from being expelled and sent back home. If you forget to do that, your business might be in jeopardy.
For first-time foreign investors or workers, dealing with KITAS Indonesia might be very confusing and quite a hassle. Once you know the drill and are patient enough to take this step by step, you will not find any problems at all.
So, here are the steps you must take:
- Prepare the necessary documents.
You can look back on the requirements on how to get your KITAS application approved. Better yet, keep the copies and the list so you will not forget them easily.
Get the documents to KANIM.
Go to the counter of foreign nationals in KANIM and submit all the necessary documents, including your passport and KITAS. They will submit an acceptance letter file that will be brought in the next 72 hours (or three days). This is how the cover letter to the regional office is obtained. Three days after that, you will be asked to fetch the cover letter.
- Go to the office of the Law and Human Rights territory with the cover letter.
If you have picked up the cover letter, then it is time to go to the office of the Law and Human Rights territory with it. Give it to the immigration section. Wait for an approval letter from the regional office. The head of the immigration department should also sign the letter. It only takes half an hour before you can get the letter. No worries, it is free of charge.
- Return the approval letter (in an envelope) to KANIM for further processing.
This may feel like a back-and-forth trip, but you will have to do it. Once the letter is in KANIM, it will be processed. The officer will let you know when your fingerprints and photos are needed.
Get your fingerprints and photos taken on the appointed day.
Once they have scheduled your turn, come to KANIM to get your fingerprints and photos taken. For your KITAS renewal, prepare IDR 800,000 and another IDR 60,000 for your photographs and biometric fingerprints when they were taken. After all of them are done and paid for, the officer will notify you when you can get your new KITAS.
Wait that is not it yet. On the same day, you get your new KITAS; you still need to continue with the extension of SKTTS. That is in the civil registry if it expires. If you plan to drive a car or ride a motorcycle too while you are in Indonesia, you can have your international driver’s license (for foreigners) renewed too here.
5.Applying for KITAS and Setting Up Your Business: Which One Should Go First?
Regarding KITAS Indonesia and setting up your company in Indonesia, both seem to need a lot of work, time, and budget. Since you need both to set up your business here, which one should go first? Can’t you do both in turns, almost on the same timeline?
The answer: you can do both simultaneously. However, make sure that your KITAS is ready first before you go further with investing your business in Indonesia. If you have already known anyone who has started the same route first, ask them for advice. Their time and yours might be a little bit different, but it is no harm to ask.
Another option, you might need to get a local partner you can trust. Make sure that the partner is also professional and helpful. They usually know their way around more than you do.
There are three (3) types of company in Indonesia, which are:
- Representative Office.
- Local company or PT.
As a foreign investor, it is suggested that you do the first one or the second. In some special cases, a PT can involve foreign investors or workers, even for a short period. However, if this is your first time investing your business in Indonesia, PT. PMA is the most solid option. Later, once you have learned the ropes, you can try something else or prefer focusing on what you have already got.
At first, dealing with KITAS Indonesia may seem like a complete hassle. There is a lot of paperwork that needs to be completed and processed. One missed element means doing it all over again.
However, once you know your way around with KITAS Indonesia and the rules and requirements, you will not have too many problems. Of course, make sure you read all the rules and requirements carefully. Allocate your time wisely, so you can get your KITAS and finish setting up your company at the right time.