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Bali May Require Tourists to Pay Levy Before Boarding Flights

Bali could soon require tourists to prove they have paid the International Tourist Levy before they can board their return flights. Bali’s Tourism Head, Tjok Bagus Pemayun, recently announced plans to work with airline technology provider SITA to enforce payment. If implemented, airlines will not issue boarding passes to tourists who have not paid the levy.

New Enforcement Plan for the Tourist Levy

Bali introduced the IDR 150,000 (≈$10) tourist levy in February 2024 but has struggled to enforce it. Government checks at tourist sites last year revealed that 60% of inbound tourists had not paid. Despite efforts to remind visitors, compliance remains low.

Under the proposed plan, tourists could pay before arrival or after landing, but they must prove payment before departure. The Tourist Levy Voucher would be mandatory for airlines to issue a boarding pass for departing flights.

Pemayun hopes to finalise a cooperation agreement with SITA, an organisation representing 36 airlines, to help implement the system. The plan aims to increase levy collection to 95% compliance, boosting revenue beyond the IDR 318 billion collected last year.

How Would This Work?

Currently, airlines remind passengers to pay the levy, but there is no enforcement at Bali’s entry points. The new system shifts responsibility to airlines, requiring them to verify proof of payment before departure.

However, this raises several challenges:

  • Many passengers check in online and use automated gates without airline staff interaction.
  • At busy airports, airline employees may not have time to verify levy payments at boarding gates.
  • Tourists arriving on domestic flights from other parts of Indonesia are also subject to the tax, complicating enforcement.
Better Alternatives to Levy Collection?

While the levy amount is small, adding another step to departure procedures could frustrate travellers. A simpler approach would be to integrate the tax into hotel bookings, as many countries already do. This would ensure automatic collection and eliminate the need for extra verification at the airport.

Bali’s Immigration Process: Progress and Challenges

Despite these challenges, Bali has made improvements in immigration processing. The new eVisa on Arrival (eVOA) system and automated gates have streamlined entry and exit. These changes have replaced long queues and past issues with “express service” bribes.

Bali’s government is eager to increase levy collection, but whether airlines can efficiently enforce payment remains to be seen. A signed Memorandum of Understanding (MoU) with SITA will determine how this system moves forward.