Governor of Bali Wayan Koster demanded that hotels be more proactive in collecting the tourist tax (PWA). Since the beginning of the year, the province's budget has been replenished with 318 billion rupiahs from these revenues, but this is only a small portion of the potential income, as 5.9 million foreigners have arrived in Bali during this time. Many of them continue to avoid paying the fee.
From February 2024, every foreigner entering the island for tourism must pay a tax of 150,000 rupiahs (about $10), but many forget about it since the process is hardly monitored. A QR code may be requested when visiting popular attractions, but at neither the airport nor hotels does anyone check the payment of the tourist tax. Koster stated that hotels are the key link in the system since tourists spend most of their time there, making it the easiest channel for collecting the tax. However, only 40 hotels are currently cooperating with the government, while there are thousands on the island.
"A greater number of hotels and accommodations are not participating in the program. This means they do not want to build Bali together. Let's take care of our island and work together," the governor said at a meeting with tourism business representatives on October 30, 2025.
These funds are essential for the island, reminds Wayan Koster, as they go towards developing traditional villages (desa adat), cultural programs, and ecological initiatives. According to government estimates, if the collection were more effective, the province's budget would receive up to 900 billion rupiahs by 2025. The current projection for the end of the year is only 380 billion.
The PWA program is integrated into the Love Bali Endpoint system - a platform created by the government for hotels, travel agencies, and attraction operators. Through it, businesses can transmit guest data and automatically remit contributions. However, the connection is progressing slowly.
To motivate participants, the province introduced a three percent incentive for businesses that help collect the tax. The governor believes that even a small reward should encourage companies to act.
In addition, the authorities are preparing an agreement with the Ministry of Immigration so that data on the payment of the tourist tax is checked directly at the border control of Ngurah Rai Airport. This will allow for system synchronization and loss prevention.
Against the backdrop of funding cuts from the state budget, it is important for provincial authorities to stabilize income: without this, cultural and ecological development programs may slow down.
"If hotels do not help, it will be difficult for Bali to move forward," Koster concluded.
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