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

Foreigner Deportation in Bali – The Bali Regional Office of the Directorate General of Immigration deported 342 foreign nationals during the first half of 2026 after they were found to have violated Indonesian immigration regulations. The enforcement measures, carried out between January and June 2026, involved all immigration work units across Bali, including the Ngurah […]

You arrived in Bali for “just a holiday.” A few weeks later, you’re filming sunrise at Mount Batur, reviewing cafés in Canggu, collaborating with beach clubs, and posting reels that suddenly start reaching hundreds of thousands of people. Sound familiar? Indonesia has quietly become one of the world’s biggest playgrounds for content creators. From travel […]

An act of generosity by a foreign national in Bali has attracted widespread praise across social media after he paid for the fuel of online motorcycle taxi drivers queuing at a local petrol station. The initiative was captured in a video uploaded to Instagram by an expat identified as Jonny Mitchell. The footage depicts the […]

Indonesia is considering a joint bid to host the 2042 FIFA World Cup, with Australia, New Zealand and potentially other Southeast Asian nations emerging as prospective partners, according to Football Association of Indonesia (PSSI) Chairman Erick Thohir. The proposal comes after Indonesia’s previous attempt to secure the hosting rights for the 2034 FIFA World Cup […]

Indonesia Guide

Just For Fun

Write For Us

Exclusive Promotions

Event Gallery