Badung Bali Launches Tax Crackdown on Bali Villas

Beritabali.com reports that the Badung Regency Government in Bali has created a special coordination team to optimize tax revenues collected from the tourism sector after concluding that thousands of Bali Villas are not paying taxes.

The tax team was established following complaints that many accommodation providers in Badung Regency, particularly among villas and boarding houses, have failed to register as tax entities.

The head of the Revenue Division for the Badung Regency, Ni Putu Sukarini, blames the rapid development of new villas in North Kuta, Mengwi, and South Kuta for the failure to enter many villas and homestays on the tax rolls. 

According to Sukarini, the solution is to involve local communities in reporting commercial villas suspected of operating as unregistered businesses. These non-compliant villas will then be reported to the Regional Tax Authorities (Bapenda).

Bapenda has deployed 31 field officers divided into eight groups. They are tasked with collecting data, focusing on new businesses that do not possess a Regional Taxpayer Identification Number (NPWPD).

Sujarini said that NPWPD Registration can now be done online. Adding: “There is no reason not to register. Even though a business is not licensed, if the business meets the elements of the subject and object of tax, we can still collect taxes.” 

To identify unregistered businesses, Bapenda has compiled a comprehensive database that includes information from online sales platforms. Law enforcement steps include sanctions that are in place for business owners proven to be violating regional tax regulations.

Based on the latest available data, the number of accommodation-based taxpayers in Badung Regency totals 5,710 units, comprised of 4,218 villas, 1,100 hotels, and 310 other accommodations such as hostels, tourist lodges, inns, and motels.

Related Links

BVRM: Ban Foreigners from Villa Business

Governor Koster: No Moratorium on Hotels & Villas

Escalating Overtourism in Bali

Moratorium on Development: 2 or 10 Years?

Subscribe to the Award Bali Update for More News on Bali Tourism 

Related posts