Bali to Strengthen Tourism Tax Regulations to Enhance Compliance

Bali, Indonesia – April 14, 2025 – The Bali provincial government has announced a significant overhaul of the Bali Tourism Tax Levy, aiming to enhance enforcement measures to ensure that international tourists comply with the mandatory payment. The decision comes in response to concerning statistics which indicate that less than 40% of international travelers have made the required payment since the tax was introduced in February 2024. ## Background on the Bali Tourism Tax

The Bali Tourism Tax Levy was implemented to generate much-needed funds aimed at preserving the island’s unique culture, protecting its environment, and improving infrastructure. However, as local leaders have noted, the execution of the policy has been plagued by weak enforcement and a lack of clarity regarding the revenue’s intended use. This has led to widespread debate among those in the tourism sector and local government regarding its effectiveness.

New Measures to Ensure Compliance

To address these issues, the Bali House of Representatives has unanimously agreed to update Regional Regulation Number 6 of 2023 concerning levies for foreign tourists. A significant aspect of the amendment focuses on strengthening enforcement mechanisms to ensure that all tourists make the mandatory payment of IDR 150,000 (approximately $10).

Various political factions have underscored the need for increased legal certainty and accountability regarding the use of collected funds. Senator Suwirta, representing the PDI Perjuangan faction, emphasized the goal of establishing a robust legal framework to not only protect Bali’s cultural and natural resources but also ensure that the benefits are clearly communicated and directly received by the Balinese community.

Oversight and Accountability

Calls for an independent oversight body have emerged, particularly from Kade Darma Susila of the Gerindra-PSI faction. He advocated for an institution responsible for monitoring the funds collected from the tourism tax to ensure transparency and address the gaps in governance that have hindered the levy’s success.

Bali’s Deputy Governor I Nyoman Giri Prasta expressed the provincial government’s commitment to these reforms. He reiterated the importance of working with external providers for efficient deployment of the new regulations and emphasizing technology use to streamline payment processes for tourists.

Improved Communication with Tourists

Among the significant frustrations regarding the tax has been the lack of communication to tourists regarding its necessity, payment methods, and benefits. To tackle this issue, the provincial government, in cooperation with the Association of the Indonesian Tours and Travel Agencies (ASITA), plans to implement improved communication strategies. This includes the installation of additional signage at key tourist locations like airports and popular attractions to remind visitors of the tax obligations.

Furthermore, tourists should anticipate being asked to present their QR-code voucher for the Bali Tourism Tax Levy more frequently, particularly at prominent entry points and attractions. Payments can be processed through the LoveBali website or app, as well as upon arrival at Bali’s I Gusti Ngurah Airport. Upcoming adjustments to the payment process aim to facilitate a more seamless experience for travelers.

The Future of Bali’s Tourism Tax

The update to the Bali Tourism Tax Levy regulations seeks not only to increase compliance but also to restore faith in the management of tourism-generated funds. With an influx of 6.3 million international tourists in the first year of the tax, the potential for enhanced cultural and environmental conservation efforts, coupled with clearer communication and stronger enforcement, could pave the way for a more sustainable tourism model on the island.

As these changes roll out, it will be imperative for both the government and the tourism sector to work collaboratively to ensure that tourists feel informed and engaged in supporting Bali’s cultural and ecological preservation through their contributions.