Bali Homestay Owners Request Extension on Licensing Deadline
Homestay owners in Bali have requested licensing flexibility from the Indonesian government. Kadek Adi Putra, a homestay owner from Banjar Lungsiakan in Ubud, Bali, acknowledged that many homestay proprietors wish to comply with licensing and taxation regulations, but the government’s deadline is extremely tight.
“The deadline (until) 31 March 2026 is limited for small business operators to undergo a process that can be quite complex and involves various levels of government,” said Kadek Adi in an official statement on Friday (13 March 2026).
Business operators are required to obtain licensing and register their legal status through the Online Single Submission (OSS) system before 31 March 2026.
Unfortunately, for Kadek Adi, who owns several homestays and manages approximately 20 properties belonging to local owners registered across various online travel platforms, this deadline is insufficient. This is particularly challenging given that customary ceremonies and village activities remain an important part of daily life.
“With clearer guidance and adequate time, most homestay owners would be able to complete this process whilst continuing to support their livelihoods and local communities,” he said.
However, he emphasised that homestays cannot operate in isolation. Accommodation businesses require assistance with marketing via online travel agencies (OTAs).
“Online travel platforms essentially help connect these local homes with tourists from around the world,” said Kadek Adi.
To realise the requests of homestay owners, representatives of the Asia Travel Technology Industry Association (ATTIA), comprising various major online travel platforms operating in Indonesia, met with officials from the Ministry of Tourism (Kemenpar). They discussed the implementation of accommodation licensing requirements for short-term rental providers.
ATTIA members affirmed their support for Indonesia’s government efforts to strengthen regulatory compliance in the national tourism sector, and also support the Tourism Ministry’s policy direction requiring all accommodation providers to obtain necessary business licences.