The Bali Villa Rental Management Association (BVRM) has expressed dissatisfaction with the increasing number of foreigners conducting villa rental businesses in Bali.
The organization's founder, Kadek Adnyana, condemns this trend. In his view, many businesses that should belong to local residents are actually managed by foreigners who use residency permits to conduct business while disregarding the country's regulations.
"Many foreign tourists have become owners and built their own businesses here, without paying taxes and not complying with government regulations. There is no proper control over the system, and this leads to violations," Adnyana explained.
According to him, many foreigners illegally rent out Bali villas and profit from it, which negatively impacts the locals.
"We see that the airport receives about 12,000 tourists every day, while our villas remain empty. We are curious where these tourists are staying because our legal villas, with full permits, are still vacant, as are some hotels," added the BVRM founder.
Against this backdrop, the Bali Villa Rental Management Association has sounded the alarm. They raised the issue of fully legalizing and regulating such businesses to avoid similar problems in the future, as the impact of the growing illegal foreign business is very noticeable. This is evidenced by the declining income of local entrepreneurs.
To work in Indonesia, a foreigner must have a KITAS. This work visa is tied to a specific company and type of activity. Without a KITAS, at best, one could be fined; at worst, imprisoned (if unable to pay the fine) or deported with a ban on re-entry into the country for several years.
Regarding businesses related to renting out housing, even a social media post seeking a roommate for co-renting a house is a violation of the law.
Sources: bvrma.id
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