Indonesia vs Malaysia: tax comparison for expats & nomads
A sourced head-to-head on Indonesia and Malaysia: tax-residency rules, income tax rates, special regimes and nomad visas, side by side. Income tax only, not tax advice.
Effective income tax by income
An effective-rate comparison for this pair isn’t available yet (one country’s full bracket table is still being verified). The sourced fact comparison below still applies — and the interactive tool covers every modelled country.
Indonesia vs Malaysia, side by side
| Indonesia | Malaysia | |
|---|---|---|
| Top income tax rate | 35%ⓘPwC Worldwide Tax Summaries“Up to IDR 60 million: 5%, above IDR 60 million up to IDR 250 million: 15%, above IDR 250 million up to IDR 500 million: 25%, above IDR 500 million up to IDR 5 billion: 30%, above IDR 5 billion: 35%”View source · accessed 2026-09-18 | 30%ⓘPwC Worldwide Tax Summaries“Residents: 30”View source · accessed 2026-10-09 |
| Tax-residency day threshold | 183 daysⓘPwC Worldwide Tax Summaries“Is present in Indonesia for more than 183 days in any 12-month period.”View source · accessed 2026-09-18 | 182 daysⓘInland Revenue Board of Malaysia (HASiL)“He is in Malaysia in that basis year for a period or periods amounting in all to one hundred and eighty-two days or more”View source · accessed 2026-10-09 |
| Signature tax regime | 4 yearsⓘPwC Worldwide Tax Summaries“foreigners who have become domestic tax subjects by reason of becoming tax resident in Indonesia can be taxed only on Indonesian-sourced income (including if paid offshore) if they meet certain skill requirements. This will only be available for the first four years they become tax resident.”View source · accessed 2026-09-18 | [source]PwC Worldwide Tax Summaries“Foreign-sourced income received in Malaysia from outside Malaysia by resident individuals is subject to tax. However, the following income received in Malaysia from 1 January 2022 to 31 December 2036 may qualify for tax exemption, subject to conditions:”View source · accessed 2026-10-09 |
| Digital nomad visa | Yes — E33G Visa Rumah Kedua Pekerja Jarak Jauh (Second Home Remote Worker Visa, commonly called the E33G Remote Worker Visa)ⓘDirektorat Jenderal Imigrasi (Indonesian Directorate General of Immigration)“E33G Visa Rumah Kedua Pekerja Jarak Jauh”View source · accessed 2026-09-18 | Yes — DE Rantau Nomad PassⓘMalaysia Digital Economy Corporation (MDEC)“The minimum annual income is USD24,000 per year.”View source · accessed 2026-10-09 |
| Nomad-visa income requirement | [source]Direktorat Jenderal Imigrasi (Indonesian Directorate General of Immigration)“Rekening bank yang membuktikan penghasilan berupa gaji atau penghasilan senilai paling sedikit US$60.000 per tahun”View source · accessed 2026-09-18 | — |
Every figure links to its source and verification date. Full guides: Indonesia · Malaysia.
Frequently asked questions
Is Indonesia or Malaysia better for tax?
It depends on your income, residency status and which special regime you qualify for. Compare the residency rules, rates and regimes side by side below, and use the interactive tool for your own income.
Which has the lower tax-residency threshold, Indonesia or Malaysia?
Indonesia treats you as tax resident after 183 days, and Malaysia after 182 days. But ties like a home, family or economic centre can trigger residency on fewer days — never rely on a day count alone.
Does Indonesia or Malaysia have a digital nomad visa?
Indonesia has a dedicated nomad/remote-work visa; Malaysia has a dedicated nomad/remote-work visa. See the "Digital nomad visa" row below for the sourced detail.