Rangi

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May 23, 2011
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Legian
The Bali administration will be earning billions of rupiah in additional revenue annually through a new fee to be charged for the extension of work permits for foreign workers.

The provincial administration has formulated a bylaw to regulate the work permit extension procedure and the levy to be charged upon permit extensions.

“As of this year, the central government has given us the authority to process the extension of foreign workers’ permits. It includes the authority to charge a fee for the extension process. This bylaw has been created to prepare for all of those matters,” said the head of Bali’s Manpower and Transmigration Office, I Wayan Suasta, during the introduction of the draft bylaw at Wiswa Sabha, the governor’s office in Denpasar on Monday.

The proposed bylaw, which consists of 29 articles, stipulates that all companies hiring foreign employees should pay the fee.

The fee will be Rp 1 million (US$104) per month, per person. “It is the company’s obligation. They should pay it,” he said.

Suasta said that the collected fees would be used to fund many programs to increase the abilities of local workers. “We will use the revenue to benefit local workers, providing them with training and many other programs to increase their skills,” he added.

Data from the Manpower and Transmigration Office recorded approximately 1,700 foreigners currently working in Bali, excluding any unregistered workers.

The provincial manpower office counted 1,420 foreigners holding work permits across the island in 2010, a number that increased to 1,455 in 2011. The provincial data shows most foreign workers were employed in the hotel and restaurant sector, with workers from Australia, Japan and France dominating the ranks of expatriate workers.

From the fee, Suasta predicted that the Bali administration would earn billions of rupiah, more every year. “But we will not focus on the amount of revenue. We will focus on how to give the best services to foreign workers when processing their permits,” Suasta said.

Suasta acknowledged the presence of illegal foreign workers in Bali. Unfortunately, Suasta said that his administration did not have any data on these illegal foreign workers. “Later, we will tighten our monitoring of foreign workers. Because if they work here without a permit it will harm local workers,” he added.

Suasta explained that the administration would introduce the draft bylaw before submitting it to the Bali Legislative Council. ”We are targeting to submit the draft in March,” he said.

Previously, Putu Satyawira Mahendra, chairman of the Tourism Workers Union (SP-Par), confirmed that the union welcomed foreign workers to Bali provided that they met all the required employment standards. “But we are very concerned over the excessive number of foreigners who work in the industry illegally,” he said.

Mahendra added that the Bali administration had always forced local workers to abide by the law and regulations. “At the same time, they [the authorities] are not enforcing the same rules on these illegal foreign workers. That’s unfair,” he said.


Bali to earn revenue from foreign worker permits | The Jakarta Post


:concern:
 

sherm

Member
Nov 17, 2011
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How much additional money could the central government make by allowing foreigners to work over the internet with overseas companies while residing in country? Without taking jobs Indonesian citizens could do, these workers would, through their spending provide jobs for many. I know big joke.
 
1 juta > 900.000 in pockets and than see what can be done with the other 100.000 !!!!
- - -
why not control ALL ILLEGAL WORKERS and they get to pay a 1 year salary - so when 500 illegal foreigners earning each 18.000$/year easy extra 100 local administration personnel controlling
- - -
and at the same time ALL ILLEGAL HOTELS let them pay 1 year revenue OR CLOSE
- - -

 

spicyayam

Well-Known Member
Jan 12, 2009
3,592
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The unanswered question here is whether this new 1 juta per month Bali fee REPLACES the $1,200 USD per year paid to Jakarta for a work permit, or whether it is in ADDITION to it.

I am sure it will be in addition. I can't imagine the central government giving up their share.
 

sakumabali

Well-Known Member
Apr 2, 2010
1,056
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Holy cow !! We are cash cows, this is getting worse & worse, you guys think that this is working out? Companies & people could move to java or Malaysia...

IF 1200 additional to 1200 USD IKTA / year + KITAS + Multiple re-entry exit fee.....will not make life easier here
 

Georgie

Member
Mar 10, 2011
163
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Bukit
1 juta > 900.000 in pockets and than see what can be done with the other 100.000 !!!!
- - -
why not control ALL ILLEGAL WORKERS and they get to pay a 1 year salary - so when 500 illegal foreigners earning each 18.000$/year easy extra 100 local administration personnel controlling
- - -
and at the same time ALL ILLEGAL HOTELS let them pay 1 year revenue OR CLOSE
- - -

I agree, I can't believe we have to pay more, can't they start cracking down on illegal workers, I am sick of meeting people here that don't have a KITAS and work and do not pay taxes when we have to pay all these fees and taxes.
 

hinakos

Member
Sep 3, 2008
517
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Bali + Vietnam
whats so hard to believe?

the local govt needs more $$$$$.......hmmmmm,,,,,,.how to fill govt coffers without alienating the voters?? easy, target those that dont have a vote.

Targeting illegal workers involves work. Hard to track them down and prove wrongdoing. Targeting kitas holders during the processing and payment proceedure is cream.
 

sakumabali

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Apr 2, 2010
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whats so hard to believe?
the local govt needs more $$$$$.......hmmmmm,,,,,,.how to fill govt coffers without alienating the voters?? easy, target those that dont have a vote.

EXACTLY :-( but isn't that very shortsighted? I remember 2002, before the Balinese were as arrogant / confident as they are these days again; I remember End of 2002 - 2003 as well suddenly all has changed (not their fault of course that time!) and they realised: what we're gonna do without bules & their money? (in a figurated sense).
Tourists came back cause they loved the island & the balinese. Now I see only traffic jams, shopping malls, pollution, high prices, chaos where the right hand doesn't know what the left hand does. THIS TIME I don't see them coming back if sth happen which piss them off. So many other beautiful holiday destinations!
If Bali will not try EVERYTHING they can the famous Bali reputation will be gone in the next years
 

davita

Well-Known Member
Mar 13, 2012
4,441
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EXACTLY :-( but isn't that very shortsighted? I remember 2002, before the Balinese were as arrogant / confident as they are these days again; I remember End of 2002 - 2003 as well suddenly all has changed (not their fault of course that time!) and they realised: what we're gonna do without bules & their money? (in a figurated sense).
Tourists came back cause they loved the island & the balinese. Now I see only traffic jams, shopping malls, pollution, high prices, chaos where the right hand doesn't know what the left hand does. THIS TIME I don't see them coming back if sth happen which piss them off. So many other beautiful holiday destinations!
If Bali will not try EVERYTHING they can the famous Bali reputation will be gone in the next years

Then Saku.....I think you would welcome this tax as..according to you...Bali will return to the paradise you originally sought. You should promote the idea!
 

sakumabali

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Apr 2, 2010
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Why? With this new tax they will not make much more money on the long term cause many foreigner will just resign from the board of attorney and will turn to "free adviser" and "investors" with a business visa and many can do so even legally....The reason many foreign business people have / had a working permit is their wish to establish themselves (wish I could explain this better english is not my native language) in a country, to be part of sth good, no visa run anymore, just work & enjoy your free time as you would do in your native country. And pay taxes of course. BUT if this country continues to tighten the rules for just one reason - to squeeze more money out of the foreigners than I can understand if many feel deceived.

Not to mention that this money will "disappear" anyway so this helps who in the end?
 
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hinakos

Member
Sep 3, 2008
517
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Bali + Vietnam
Why? With this new tax they will not make much more money on the long term cause many foreigner will just resign from the board of attorney and will turn to "free adviser" and "investors" with a business visa and many can do so even legally....Not to mention that this money will "disappear" anyway so this helps who in the end?


I think this is exaclty what everbody is going to do - jump to business visas.

Ive been living off a business visa for years - it works fine for me as i leave the country often anyway, so no probs regarding leaving all the time.

But what i thinks going to happen after everyone jumps to these visas is they will legislate changes to them also (the business visas) so as to fill the coffers.

This will leave only one other option - paying somehow via the back door. Which is what this may be about anyway....giving officials a raise without really giving them a raise.

A few more fuel subsidy changes (bound to happen soon and without warining as per the new legislation), some additional visa/kitas processing fee's, toll road charges, the cost of international insurance, ridiculous land / rental prices........the grass is really starting to look greener elsewhere
 

calitobali

Member
Jul 10, 2008
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The word from my agent is that the $1,200 USD which previously went to Jakarta will now stay in Bali.
She is not aware of any changes in regulations that would result in a double payment for KITAS holders who are working.

I would really like to hear more info about this. While I thank you for sharing this information, I really need it to be confirmed officially before I just believe the word of a visa agent. Hopefully this turns out to be true.
 

sakumabali

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Apr 2, 2010
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I don't think so

The Bali administration will be earning billions of rupiah in additional revenue annually through a new fee to be charged for the extension of work permits for foreign workers
 

calitobali

Member
Jul 10, 2008
478
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I don't think so

Yes, I'm aware of that and fully prepared that these will all be additional fees.

On the other hand, I am hopeful that isn't the case and wouldn't put it past the Jakarta Post to get the semantics and overall gist of something, especially related to ever-changing immigration laws, totally wrong.
 
C

CanonMan

Guest
Will wait to see what happens, my KITAS is due to be issued after renewal in about two weeks. This plan goes into effect? in March. If it becomes a simple case of milking the bules for everything they have then I for one will be calling it quits from Bali.
 

sakumabali

Well-Known Member
Apr 2, 2010
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They keep trying, remember some banjars started to charge people for surfing? Big outcry - than they changed their mind and try backpedalling "all a big misunderstanding" yeah sure! On Lembongan they tried to get from each foreigner one million rupiah extra fee / month. Any banjar on Bali charge money for foreigners & Java construction workers. We have no lobby that's our problem, a friend of mine contacted the german ambassador and asked how it could be that germany support indonesia every year with billions of dollars but in return they can't protect their expat citizen at least a bit. He never got an answer...
 

davita

Well-Known Member
Mar 13, 2012
4,441
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does this in effect mean a kitas in bali would cost you double what it would cost anywhere else in indo?

I read the aricle in Jakpost and it did not refer to a Kitas...it only spoke to a work permit for foreigners. It said this is a 'new' proposal to go to the Bali legislature in March.
The Federal work permit already costs employers of foreigners US$1200/year. This proposal in Bali did not address whether it was in addition to Jakarta's current fee or simply transferring the recipient of the current fee from Jakarta to Bali.
My impression is the former of those two ideas and, if so, means it will cost Bali Co's about twice what it costs other Indonesian Co's to obtain a work permit for foreigners.