Badung Regent Anak Agung Gede Agung has gotten a please-explain from Governor I Made Mangku Pastika over the collection of hotel tax in the regency.
Regent Agung had told Pastika Badung rejected provincial rules that require hotel taxes to be remitted online because the necessary software and systems were not yet installed. The online payment system is being introduced to curb tax evasion.
But Pastika said online tax collections are now applied worldwide and there was no reason to refuse to implement the system in Badung, especially as it would also help to maximise local revenues.
Online tax collection is due to start across Bali at the end of the year. The provincial government is now installing the equipment and software.
Meanwhile the general manager of the Candi Dasa Beach Hotel at Candi Dasa in Karangasem has urged the government to accelerate implementation of hotel and restaurant tax online.
Nyoman Sarjana said most hotels in Bali were ready to pay tax online and keen to do so because it would reduce administrative costs by up to 25 percent.
“It would be more efficient and certainly could reduce under-the-table dealings. Hotels already frequently make or receive payments online with travel agents at home and abroad,” he said.