Indonesia Tightens Grip on Short-Term Rentals

The Indonesian government has introduced stricter regulations for short-term rental properties, requiring them to have business permits. This regulation, announced by Tourism Minister Widiyanti Putri Wardhana, aims to ensure compliance with tax responsibilities and promote fairness in the tourism sector.

The Indonesian government is cracking down on short-term rental properties, including those listed on platforms like Airbnb. In a new mandate announced by Tourism Minister Widiyanti Putri Wardhana, all such accommodations must secure business permits by March 31.

This decision follows concerns from Bali's governor, who suggested halting these rentals due to lost regional tax revenue. The government urges operators to begin the permitting process immediately.

Minister Widiyanti emphasized that this regulation is meant to bolster Indonesia's tourism growth, curb tax evasion, and ensure fair competition among tourism businesses.

(With inputs from agencies.)