Bali’s Tourism Drives Tax Revenue Surge to Rp10.27 Trillion in August 2025
Bali, Indonesia — The island’s flourishing tourism sector has played a pivotal role in boosting tax revenue, with the Bali Regional Office of the Directorate General of Taxes reporting a significant increase in collections for August 2025. Tax revenues reached Rp10.27 trillion during the month, reflecting a 9.97% rise compared to Rp9.34 trillion recorded in the same month last year.
According to Darmawan, Head of the Bali Regional Tax Office, the August tax revenue milestone represents 57.12% of the annual target of Rp17.9 trillion set for 2025. He highlighted the accommodation and food and beverage sectors as key contributors to this growth, noting that these tourism-related industries saw tax revenue jump by 25.07%, from Rp1.31 trillion in August 2024 to Rp1.65 trillion in August 2025. “This remarkable growth in Bali’s tourism has directly influenced the increased tax revenue, especially in accommodation and food services, which are vital components of the island’s economy,” Darmawan explained on September 30. Breaking down the tax revenue components, Income Tax (PPh) accounted for the largest share, generating Rp7.15 trillion in August 2025. Value Added Tax (PPN) and the Luxury Goods Sales Tax (PPnBM) followed with Rp2.64 trillion. Meanwhile, Land and Building Tax (PBB) and Land/Building Acquisition Tax (BPHTB) combined brought in Rp1.56 billion, with other miscellaneous taxes contributing Rp471.53 billion.
Darmawan also provided insights into the performance of other sectors. The wholesale and retail trade, along with car and motorcycle repair and maintenance services, contributed a substantial 18.91% of total tax revenue, amounting to Rp1.94 trillion. The financial and insurance sectors generated Rp1.36 trillion, or 13.32%, while the manufacturing industry provided Rp744.75 billion, equal to 7.25%. Other sectors combined accounted for Rp3.67 trillion, representing 35.78% of the total revenue.
Despite these positive trends, the government administration, defense, and mandatory social security sector experienced a steep decline in tax revenue, falling 15.35% to Rp885.75 billion compared to Rp1.04 trillion in August 2024. Darmawan attributed this contraction to improved administrative efficiency which, while beneficial for governance, has had a noticeable impact on tax collection figures.
The Ministry of Finance of Indonesia had earlier set a national tax revenue collection outlook of 95% for 2025, factoring in enhanced administrative capabilities and ongoing improvements in collection efficiency. To sustain and build on this growth, Bali’s tax authorities plan to intensify efforts in taxpayer education, service delivery, supervision, inspections, and law enforcement throughout the remainder of the year.
“Our commitment to supporting Bali’s economic growth through effective taxation will continue with stronger education and enforcement initiatives designed to further improve compliance and collection rates,” Darmawan added.
With tourism as a central pillar of Bali’s economy, the robust tax revenue performance in August underscores the island’s ongoing recovery and resilience, promising sustained economic benefits for the region and Indonesia as a whole.
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