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Bali’s New Tourist Tax Rakes in $22 Million, Yet Falls Short of Ambitious $32 Million Target

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Bali Tourist Tax Generates $22 Million in 2025, Short of Revenue Target

Denpasar, Bali – Bali’s foreign tourist levy brought in approximately Rp369 billion (around US$22 million) in 2025, marking an increase from the previous year but still falling short of the Rp500 billion (US$32 million) target set in the regional budget. The announcement was made by Bali Governor I Wayan Koster during a press briefing on Saturday in Denpasar.

Tourism and Tax Collection Overview

The tourist tax, introduced in 2023 as a new local policy, levies Rp150,000 (about US$10) per foreign visitor. Last year, Bali recorded 7.1 million international arrivals, with roughly 35 percent of these visitors paying the levy, up slightly from 32 percent in 2024. Governor Koster emphasized that although the revenue performance has improved, efforts to increase compliance and collections must continue.

Government Strategies for Boosting Revenue

To enhance revenue from the tourist levy, the provincial government plans to strengthen communication strategies and collaborate with key institutions such as the Ministry of Immigration, the airport operator Angkasa Pura, and airlines. Additionally, incentives have been introduced for tourism businesses that assist in levy collection. Since August 2025, around 150 accommodation providers have joined an incentive program offering a 3 percent commission on levies collected from their guests.

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Allocation of Levy Proceeds

Governor Koster highlighted that all proceeds from the tourist levy are allocated into Bali’s Regional Original Revenue (PAD) budget, as mandated by national and local regulations. The funds are specially earmarked for preserving Balinese culture and safeguarding the island’s environment.

While the current revenue remains below the targeted Rp500 billion, Bali’s government is optimistic that continued efforts will improve compliance and increase contributions from the growing number of foreign visitors in the coming years.

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