Rules & land · Bali

Koster: OTAs may list only licensed stays with an NPWPD

Bali's governor has set conditions for online platforms: they may promote only licensed properties that hold an NPWPD tax number. He estimates illegal bookings cost the province about half of its potential PHR tax.

News of Published in DOMA News: 2 min read

Key points

  • Conditions apply to Airbnb, Agoda, Booking.com, Traveloka and others
  • Properties must hold an NPWPD and pay PHR tax
  • The 2026 PHR target is Rp 8.5 trillion versus a potential Rp 17 trillion

Two conditions for platforms

Governor Wayan Koster addressed Airbnb, Agoda, Booking.com, Traveloka and similar platforms. First, they should promote only licensed properties. Second, each property must have an NPWPD (regional taxpayer number) proving it pays PHR.

PHR is the local hotel and restaurant tax, which also applies to nightly villa rentals. Properties without tax registration, the governor said, should not be marketed.

What the budget is losing

Koster said tourism brought Bali about Rp 176 trillion in foreign exchange in 2025. If PHR were collected on all of it, the take would be around 10%, or roughly Rp 17 trillion.

The actual 2026 target is only Rp 8.5 trillion. The governor attributes the gap of about 50% to illegal bookings.

Regency estimates

Badung's current tax target is Rp 6.5 trillion. Koster believes it could pass Rp 10 trillion with proper oversight of OTAs. Denpasar expects more than Rp 600 billion.

These numbers explain why the province keeps pressing the platforms.

Background

In February 2026, Koster met Airbnb representatives in Denpasar and gave owners until the end of March to obtain licences and register for tax. The May conditions were the next step and extended to all major platforms.

A national campaign is running alongside. The tourism ministry sent OTAs a list of about 1,600 unlicensed properties and began removing them from 1 August 2026. For owners, provincial and national requirements now work together.

What it means for investors

To rent through OTAs, a villa needs both a licence and an NPWPD with regular PHR payments. Confirm that your management company pays the tax on the property's behalf and keeps receipts. Treat PHR as a fixed cost when you model yield.

Ask on WhatsApp

Q&A

What is an NPWPD for a Bali villa?

It is the regional taxpayer number used to pay the local PHR tax. The governor wants OTAs to list only properties that have one.

Source
ANTARA Bali, published May 9, 2026, language: Indonesian
Also checked: ANTARA Bali

Prepared by the DOMA editorial team from public reports, with the original source linked above. This is a news review, not legal or tax advice. Not a public offer.

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