The Provincial Government of Bali will impose a levy of Rp150,000 or around US$10 on foreign tourists entering Bali to be implemented in February 2024.
In a working meeting with the Bali Regional People’s Representative Council on Saturday 22nd July 2023, Bali Governor I Wayan Koster said that previously the levy would be implemented starting 1st July 2024.
“That is why the regulation is enacted starting 1st July 2024. But if board members want it to be faster, say six months, we will at least implement it on 1st February 2024,” said Koster.
Koster said the Bali Regional People’s Representative Council had approved this proposal. The Bali Regional Government has also coordinated with the Director General of Regional Autonomy and Finance of the Ministry of Home Affairs, in order to speed up the discussion process.
“Once it is submitted at the Ministry of Home Affairs, it will be processed immediately, no later than one week after it has been completed. So the first week of August can be completed. I think it is extraordinary that a regulation can be agreed upon. Usually, even one regulation takes months for the Minister of Home Affairs to agree on,” he said.
The timing of the implementation of the levy in February 2024 also takes into account the timing of socialisation to the public. In order for this rule to be known by foreign tourists, sufficient socialisation is needed.
“Actually, we have a few more months until the next year, maybe we can implement it in February at the earliest,” he said.
Koster previously explained that fees for foreign tourists will be carried out through electronic payments and must be made before or when entering the arrival gate in Bali.
“The proceeds from the levy will be managed in a transparent manner in accordance with statutory provisions,” said Koster in the Plenary Session on Thursday 20th July.
The levy for foreign tourists will be regulated in the Draft Regional Regulation on Charges for Foreign Tourists for the Protection of Bali’s Culture and Natural Environment.
By being managed in a transparent manner, Koster said that foreign tourists and the public would know and get the widest possible access to information about the management and utilisation of the proceeds from these levies.
Koster also agreed with the General View of the entire Bali Regional People’s Representative Council faction regarding the allocation of levies must be according to the designation, without cutting the budget from the main national budget and in accordance with the objectives set out in the Draft Regional Regulation.
“Coordination regarding incentives with the central government needs to be carried out when the central government also imposes ‘tax tourism‘ for every foreign national who comes to Indonesia,” he said.
Later, the levy will be charged once to foreign tourists who arrive either by sea, land, or air. The amount of the levy is equivalent to US$10 and will be reviewed and/or evaluated every three years at the latest.
After obtaining approval from the Bali Regional People’s Representative Council, Koster will issue a Governor Regulation as the legal umbrella.
Regarding the regulatory substance or material regarding investigations and sanctions, continued Koster, it is in accordance with Law Number 12 of 2011 concerning the Formation of Legislation.