In 2025, many PT PMA companies in Bali will undergo inspections by Indonesian authorities. These inspections may lead to serious consequences, ranging from the need to amend the company’s articles of association to administrative penalties and visa cancellations. If you are a PT PMA owner or hold an Investor KITAS (more details), you should pay attention to regulatory changes and prepare in advance.

Why are inspections inevitable?

As of 2024, the minimum authorized capital for PT PMA has increased from IDR 2.5 billion to IDR 10 billion per shareholder. Previously, this requirement was rarely checked, allowing unscrupulous visa agents to mass-register “mixed” companies. In such firms, 10-15 investors obtained Investor KITAS without running a real business.

What did “black” agents do?

• Registered a PT PMA with individuals unfamiliar with each other.
• Assisted in obtaining a 2-year Investor KITAS (more details).
• Arranged dependent family KITAS for spouses, children, and parents (more details).
• Submitted zero tax reports annually.
• Assured investors that KITAS renewal would be smooth.

Now, the tax and immigration authorities are thoroughly checking business activities. Companies with zero reports and disconnected shareholders automatically get flagged for inspection.

The first warning signs came from official letters

By the end of 2024, PT PMA shareholders started receiving official requests for financial confirmations and company details. However, the main issue is Investor KITAS renewal. Without making the necessary amendments to the company’s articles of association (and confirming IDR 10 billion capital per shareholder), renewing the visa will not be possible.

Some PT PMA owners faced even more serious issues — company documents became unavailable because they were kept by third parties or lost. Their KITAS could neither be renewed nor legally canceled.

Possible scenarios

1. (Not ideal, but manageable)

You are a shareholder in an active business, but your registered capital is only IDR 1 billion (the minimum threshold before 2024). Now, to renew KITAS, you need to update the company’s articles of association with IDR 10 billion per shareholder. If you plan to apply for a 5-year Investor KITAP in 3 years (more details), it’s best to register IDR 15 billion per shareholder from the start.

Solution: If the company director agrees to amend the articles of association, you can contact us. We will assist with the legal changes through a notary (service cost IDR 10 million) and update your immigration profile.

2. (Hopeless situation)

If the shareholders cannot gather to amend the company’s articles, and documents are held by a nominee director (who you may not even be aware of), the situation becomes critical.

Problems:

• It is impossible to legally close KITAS (more details about EPO, ERP, Bridging Visa).
• You will not be able to obtain a new Indonesian visa.

Contact us so we can analyze your case and determine how we can help. However, without company documents, it will be extremely difficult to take any action.

3. (The ideal scenario)

You registered PT PMA with real investors who you know well. The best setup is 2-3 investors who can easily agree on amendments to the company’s structure.

Solution:

• Authorize changes remotely via a power of attorney.
• Increase the capital to IDR 10-15 billion per shareholder.
• Make these changes well before your KITAS renewal.

In this case, there will be no issues renewing KITAS or obtaining KITAP.

If you have an active PT PMA business but Investor KITAS does not meet your needs

You can switch to a Working KITAS without leaving Indonesia and take an executive role as Company Director. This will expand your opportunities and allow you to receive income through a salary, rather than just as a shareholder via dividends taxed at 10%—a nice benefit.

Check out the Working KITAS positions (more details), costs, and requirements for obtaining a work visa in Indonesia, based on a real client request (more details).

Do you want to open a PT PMA and run your business in Indonesia correctly?

Read our article on the process of registering an LLC in Indonesia, including in Bali, Jakarta, and other regions (more details). Fill out the application form to start your company (submit) and get a free consultation on business activities, licenses, and visa options. We will help you navigate all aspects of business operations and legal residence in the country.

Important!

If your KITAS has less than 31 days before expiration, you may miss the chance to obtain a 5-year KITAP (more details). If your KITAS expires, you will have to go through the full visa application process again.

How to avoid problems?

✔ Amend your PT PMA’s articles of association — promotional price IDR 10 million!
✔ Remote processing via power of attorney, just follow our instructions.

Contacts for PT PMA registration, shareholder updates, license additions, Investor KITAS renewal, and dependent residence permits

Flado — operating since 2020
Over 5,000 clients, 700+ reviews → Reviews
WhatsApp → Message us
Telegram → Contact us
Email → visa@flado.id

Don’t wait until renewing KITAS becomes impossible! Solve the issue in advance.