Russian-speaking buyers often live somewhere other than where they grew up: in Moscow, Almaty, Dubai or already on Bali. For the villa itself this changes nothing. For tax it changes a lot, because what counts is your tax residence, not your passport. Settle it before the purchase, not when the first rent arrives.
20%
Indonesian tax on the gross rent for an owner who is not an Indonesian tax resident, whatever the passport
Since 2003
the Russia–Indonesia tax treaty applies. Kazakhstan has no tax treaty with Indonesia.
0%
personal income tax in the UAE. The Indonesian tax is then the only tax on the rent.
Indonesia: the same for everyone
Rent from a villa on Bali is taxed in Indonesia first. For a non-resident owner the rate is 20% of the gross rent, usually withheld by the operator. The ownership rules, the lease and the 2026 licensing limits are also the same whatever your citizenship. We cover them in separate articles.
If you are a Russian tax resident
A Russian tax resident, in general someone who spends at least 183 days in Russia within 12 months, declares income from abroad, including rent, on the 3-NDFL return by 30 April of the following year. Since 2025 rental income is taxed on the progressive scale, from 13% to 22% depending on total income. Under the 1999 tax treaty, which applies since 2003, Indonesia keeps the right to tax the rent, and Russia credits the tax paid there, up to the Russian tax on the same income. For the credit you need the Indonesian withholding documents, usually with a certified translation.
Selling is a separate question. For property Russian law exempts the gain after a minimum holding period, generally five years. A Bali lease is not ownership, and whether the exemption applies to selling the remaining term of a lease is a question for your tax adviser.
If you have moved abroad and are no longer a Russian tax resident, Russia does not tax your income from outside Russia. The Indonesian tax and the rules of your new country of residence apply instead.
If you are a Kazakh tax resident
Kazakhstan and Indonesia have no tax treaty. Kazakh residents can still claim a credit for tax paid abroad, but only with an official document from the foreign tax authority confirming the income and the tax, with a notarised translation into Kazakh or Russian, filed with the annual return. Ask the operator in advance for the Indonesian withholding slips, not at the end of the year.
If you live in the UAE
The UAE does not tax the personal income of individuals. For a UAE tax resident the Indonesian 20% is in practice the only tax on the rent. Check that you are not still a tax resident of another country, for example because of days spent there or a home you keep.
Money and documents
Indonesian notaries are required to identify their clients and report suspicious transactions. Pay from an account in your own name, keep the documents that show where the money comes from, and plan the transfer early: international payments can take longer than expected, and banks may ask for supporting documents.
The checklist
- Your country of tax residence this year and next, confirmed with an adviser.
- Who in Indonesia withholds the 20% and when you receive the documents.
- A certified translation of the tax documents, if your home country requires one.
- The rules on selling a lease in your country, before you buy.
- Payment from your own account, with documents on the source of funds.
Norbert Bodi, our director for Russian-speaking markets, speaks with clients in Russian. We do not give tax advice for Russia, Kazakhstan or the UAE, but we prepare the documents your adviser will ask for.
This article is general information, not legal, tax or investment advice. Rules in Indonesia change, sometimes by administrative decision. Confirm your own position with a qualified adviser before you commit.