Airbnb & Booking Bali: requirements from 31 March 2026 to keep your listing active
Introduction
After recent statements by the Governor of Bali calling for online platforms to remove illegal rental properties, the government has begun implementing concrete measures.
In fact, the framework was introduced earlier. In December, Indonesia’s Ministry of Tourism issued official letter No. B/SD/80/II.01/D.3.3/2025, which outlines how Online Travel Agencies (OTA) — such as Airbnb and Booking — must work with accommodation providers.
Starting March 31, 2026, only properties that receive the government-verified status “Terdaftar dan Berizin” (“Registered and Licensed”) will be allowed to remain on these platforms.
This requirement applies to the entire short-term accommodation market: villas, hotels, apartment hotels, guesthouses, and similar properties.
Why the Government Is Taking a Strict Approach
The Indonesian government is not banning Airbnb or other OTA platforms. These services will continue operating in Indonesia.
However, only legally registered accommodation providers will be allowed to list properties on them.
The issue is the large gap between official tourism records and the real market.
For example:
the official hotel association registry contains only a few hundred registered properties,
while Airbnb and Booking list tens of thousands of accommodation options across Bali.
A significant portion of these listings operate without the full set of required permits.
The government is now trying to synchronize digital platforms with the national licensing system.
These changes are supported by new regulations, including:
Government Regulation No. 28 of 2025 (PP No. 28/2025)
Minister of Tourism Regulation No. 6 of 2025 (Permenpar No. 6/2025)
Both regulations strengthen oversight of tourism accommodation businesses.
What Property Owners Must Do Before March 31, 2026
The Ministry of Tourism outlined a clear compliance process. In practice, it consists of three key steps.
Step 1. Legalize the Business Through OSS
The first requirement is obtaining Perizinan Berusaha (business licensing) through Indonesia’s OSS (Online Single Submission) system.
This involves more than simply registering a company and obtaining an NIB (Business Identification Number).
The business activity code (KBLI) must correspond to a legitimate accommodation business.
Examples of relevant KBLI codes include:
55110 — Star-rated hotels
55120 — Motels
55193 — Villas
55194 — Apartment hotels
If a property is legally classified as residential real estate, and the company does not have the appropriate KBLI or hospitality license, it will not be able to proceed to the next stage.
Step 2. Register in the Ministry of Tourism Database
Once the business permits are issued through OSS, the operator must submit information through a registration form on the Ministry of Tourism website.
The system automatically verifies:
whether the KBLI code is correct,
whether the business license is active,
whether the property corresponds to the declared accommodation category.
This process essentially creates a government “whitelist” of legal accommodation operators.
Step 3. Obtain the Digital Status Badge
After successful verification, the property will receive a digital status “Terdaftar dan Berizin.”
This badge will appear on OTA platforms next to the listing.
For guests, it will signal that the property is operated by a licensed accommodation provider, rather than an informal or “grey market” landlord.
What Happens If You Do Nothing
After March 31, 2026, properties without verified status may:
disappear from platform search results
be removed from OTA platforms entirely
attract additional scrutiny from local authorities
Having “Terdaftar” status also reduces the risk of inspections or administrative issues, since regulators will have a clear tool to identify licensed businesses.
Another important factor is changing traveler behavior. Over time, the “Terdaftar dan Berizin” badge is expected to become a mark of reliability and safety for guests.
For unlicensed operators, legal and operational risks will become systematic rather than occasional.
Common Questions From Property Owners
Is it enough to simply have a company and an NIB?
No. The NIB is only the basic business identifier. Short-term accommodation requires:
the correct KBLI classification,
and an appropriate hospitality business license.
Do I need to pay PHR tax?
Yes. Most short-term accommodation formats in Bali are subject to Hotel & Restaurant Tax (PHR), typically 10%.
This tax is administered by local government authorities, and the property operator is responsible for paying it.
Platforms like Airbnb and Booking do not act as tax agents for PHR. They do not withhold or remit this tax on behalf of property owners.
This means the operator must:
register as a local taxpayer (NPWPD)
correctly report accommodation revenue
submit regular tax reports
pay the PHR tax monthly.
Platform commissions and service fees do not replace or reduce this tax obligation.
What if the property is registered as a residential villa?
For PT PMA (foreign-owned companies), short-term rental of residential property without a hotel-style accommodation model remains a complex legal area.
Recent changes to the KBLI classification system have also significantly limited the list of accommodation-related activities available to PT PMA companies.
If the property has not been converted to commercial use as an accommodation facility, it will likely fail the verification process.
Practical Legal Structures That Still Work
In practice, several models remain viable depending on the specific situation.
1. Fully licensed accommodation business
The property is registered as a hospitality business with all required permits and taxes.
For PT PMA companies, this usually means operating under:
KBLI 55110 — Star-rated hotel
2. Using a PT PMDN structure
A PT PMDN is an Indonesian company owned by Indonesian citizens or local entities.
In some cases, this structure may allow accommodation operations where PT PMA limitations apply.
However, the feasibility depends on:
local zoning regulations
ownership structure
regional policies.
Each case requires individual legal analysis.
Additional Compliance Requirements: SLF and Commercial Status
If a property operates as an accommodation business, it will typically require:
PBG (building permit / building legalization)
SLF — Sertifikat Laik Fungsi (certificate confirming the building is safe and suitable for operation)
NPWPD registration for local taxes
compliance with KKPR zoning regulations
These documents confirm that the property can legally operate as a commercial accommodation facility.
The commercial SLF is particularly important. When submitting data to the Ministry of Tourism registry or during inspections, it proves that the building has been approved for business use rather than residential use.
In practice, the absence of an SLF is one of the most common reasons for rejection or additional regulatory scrutiny.
Will Enforcement Be Strict?
This is currently the most common question among villa owners.
The government is building a digital compliance system connecting:
OSS licensing
the Ministry of Tourism registry
OTA platforms such as Airbnb and Booking.
In theory, this system allows platforms to automatically exclude properties without verified status.
How strictly platforms will enforce the mechanism remains to be seen. However, the administrative infrastructure is already in place.
The overall trend is clear: Indonesia is gradually moving the short-term rental market from a grey zone into a fully regulated sector.
Practical Advice for Villa and Hotel Owners
If your property already has:
a commercial SLF certificate
a local tax number (NPWPD)
properly paid taxes
an OTA account registered under a company with the correct KBLI code
then you should be able to complete the registration process without major difficulties.
However, if the property is still classified as residential real estate without a hospitality license, it is strongly recommended to address legalization before the deadline.
How Legal Indonesia Can Help
Legal Indonesia assists villa owners, apartment hotels, and hospitality businesses with the entire legalization process, including:
auditing the current company structure
selecting the correct KBLI classification
registering or updating permits through OSS
obtaining PBG and SLF certificates
setting up PHR tax compliance
choosing the most appropriate legal model (PT PMA, PT PMDN, or management structures)
With the March 31, 2026 deadline approaching, delaying the process may create risks. Closer to the deadline, regulatory systems and government agencies typically experience increased workload and longer processing times.
In 2026, legalization is no longer just a formality. It has become a necessary condition for remaining on online platforms and operating a stable hospitality business in Bali.
