Development
Development Applications
Kepri Estates is pleased to announce we have finalised a secure and tax effective process for clients to purchase real property using various cryptocurrencies.
In consultation with lawyers, notaries, company incorporation services and accountants, both within Indonesia and Dubai, we have developed a cost and tax effective structure to secure real property with cryptocurrency and secure a tax neutral position upon development and/or exit from the investment.
The summarised process steps are as follows:
1. Once you have selected your investment and paid the deposit, a company will be established for you in Dubai, with your existing company, or yourself personally, as the beneficial owners.
2. A PT PMA company will be established for you in Indonesia (equivalent of a PTE LTD or PTY LTD company), that will have your Dubai company as the 100% shareholder and beneficial owner.
3. Upon receipt of final payment, and simultaneously, land titles will be transferred to your PT PMA Indonesian company.
4. Upon development and/or sale of your property, the Dubai company, owning the Indonesian PT PMA company and the land titles, is sold.The sale of the Dubai company does not trigger a taxation event in Indonesia as the beneficial owner of the Indonesian PT PMA company has not changed (it remains the Dubai company). Profits made from sale of the Dubai company (the beneficial landowner) are not subject to UAE (Dubai) taxation.
For further information on how to effectively structure your property investment to convert cryptocurrency into real property, please contact Kepri Estates.
NOTE – The above information does not constitute taxation or financial advice and does not consider your personal financial situation or place of residence. It is recommended to obtain independent taxation and legal advice on all corporate structures or international land purchases.