Indonesian Ministry of Tourism Stirs Controversy with New 40% Entertainment Tax Surge Policy in Bali

Share:

The Ministry of Tourism and Creative Economy, led by Sandiaga Uno, has announced plans to implement a 40% to 75% increase in entertainment tax for Balinese entrepreneurs in 2024. This decision has sparked strong protests from various sectors, including hotels and spas, who argue that the hike is excessively high and poses a significant burden.

Sandiaga Uno addressed the issues’s concerns, stating, “There was a negative response from business owner in the tourism and creative economy, especially in Bali, regarding the 40% increase in entertainment tax in Bali, including the spa industry,” during The Weekly Brief with Sandi in Jakarta on Wednesday (10/1/2024).

Despite the backlash, Sandiaga reassured that the new tax regulations would not cripple businesses in the tourism sector. The controversy surrounding the tax increase also drew the attention of Hotman Paris, a prominent Indonesian lawyer with extensive business interests in Bali.

 


Hotman Paris, a well-known Indonesian lawyer, expressed strong opposition to the proposed entertainment tax increase through a post on his official Instagram account (@hotmanparisofficial). He argued that there is no justification for the sudden tax hike, especially when comparing Indonesia’s policies to other tourist destinations like Thailand, where the approach is perceived as fundamentally different.

Hotman Paris raised concerns that implementing such a policy could significantly decline the number of foreign tourists visiting Indonesia. This comes at a time when Bali has recently been labelled as an ‘over-tourism city,’ attracting over 9 million foreign tourists in 2023.

The surge in tourist numbers, however, has not been met with adequate facilities and infrastructure. Bali has faced various challenges, including a high number of traffic accidents, road congestion, and a gradual increase in prices at tourist destinations, negatively impacting its tourism image.

Interested in this topic? Check out our other articles from Social Expat!

Related News

Garmin Indonesia has officially announced the return of its annual running event, the 2026 Garmin Run Marathon Series – Indonesia, which will take place on 20 September 2026 at ICE BSD, Tangerang. Now entering its fifth year in Indonesia, the event has been upgraded from the Garmin Run Asia Series to the Garmin Run Marathon […]

A four-year-old girl who went missing from her home in Klungkung Regency, Bali, was safely reunited with her family after being found wandering alone along the busy Ida Bagus Mantra Bypass. Residents were moved by the presence of a German Shepherd that remained by the child’s side throughout the incident and appeared to protect her […]

The Jakarta Provincial Government is set to hold a series of public events at the Bundaran HI on 27–28 June 2026 as part of celebrations marking the capital’s 499th anniversary. Under the theme “Towards 5 Centuries of Jakarta”, the two-day programme will feature concerts, cultural performances, visual art installations and special transport incentives for residents […]

Indonesian anti-graft investigators have revealed that corrupt immigration officials in Bali have been running an extortion racket, charging foreign nationals and visa agencies illicit fees ranging from IDR 100.000 to IDR 2.5 million per document just to process routine residency paperwork. The Corruption Eradication Commission (KPK) uncovered the scale of the bribery scheme following a […]

Indonesia Guide

Just For Fun

Write For Us

Exclusive Promotions

Event Gallery