Manggarai Barat Targets Rp280 Billion in Tourist-Boat Hotel and Restaurant Taxes

Labuan Bajo — Manggarai Barat’s deputy regent says the regency is targeting Rp280 billion in regional tax revenue from hotel accommodation and food and beverage services provided aboard tourist boats operating in the waters around Labuan Bajo.

Deputy Regent Yulianus Weng outlined the target in a recent briefing on the regency’s tax policy for vessels offering overnight stays and meals to visitors in the Komodo National Park gateway area, according to local media reports.

He said collections from hotel and restaurant services on tourist boats reached Rp103 billion between January and mid-July 2025, describing the figure as higher than receipts over the same period a year earlier.

Regional officials have consistently framed the policy as a way to capture tax revenue from commercial tourism services delivered at sea, complementing existing levies on land-based hotels and restaurants.

Legal basis and scope

The levy is based on Regional Regulation (Perda) No. 6 of 2023 on regional taxes and levies, which establishes Manggarai Barat’s authority to tax hotel accommodation and food and beverage services on tourist vessels.

To implement the regulation, the regency issued Regent Regulation (Perbup) No. 5 of 2024, which sets out procedures for collecting taxes on certain goods and services involving the provision of meals and hotel-style accommodation on the water.

Officials have explained that the tax applies to vessels that provide overnight accommodation and food and beverage services as part of tourism packages sold to visitors.

Rates and collection

According to statements by Manggarai Barat’s revenue agency, tourist boats are subject to a 10 percent tax on the value of hotel accommodation and food and beverage services provided on board.

Local media have reported that the 10 percent charge mirrors the rate imposed on conventional hotels and restaurants on land, with the tax calculated from the portion of tour package prices that covers lodging and meals aboard the vessel.

The regency began applying the levy in 2024, following socialisation meetings with vessel owners and operators in Labuan Bajo, and has since moved to integrate the tax into broader efforts to strengthen local revenue collection.

Compliance and oversight

Regional officials say the tourist-boat tax is now part of the requirements for vessels seeking permission to operate in Manggarai Barat’s waters, alongside other local tax and levy obligations.

The deputy regent has highlighted cases of under-reporting by some operators, and has joined inspections with the regional revenue agency and national anti-corruption authorities to check declared passenger numbers and trip frequencies.

Authorities have stated that they are using these inspections to tighten enforcement and ensure tourist-boat operators pay the required hotel and restaurant taxes to the regency.

Regional interest

Weng has described Manggarai Barat’s approach to taxing tourist boats as a policy that could be studied by other maritime tourism destinations seeking to expand their local revenue base.

He said the regency has shared its regional and regent regulations with other administrations interested in designing similar frameworks for tourism vessels in their own waters.

Local officials argue that the policy reflects the growing importance of maritime tourism around Labuan Bajo and the need to align tax treatment of services at sea with those provided on land.

Sources

• Peraturan Daerah Kabupaten Manggarai Nomor 6 Tahun 2023 tentang Pajak Daerah dan Retribusi Daerah (PDF, Manggarai Regency government site)
• Kapal Wisata di Labuan Bajo Dipungut Pajak Hotel dan Restoran Mulai 2024 (local news report, Nusra/Bali section)
• Kapal Wisata di Labuan Bajo Dikenai Pajak 10 Persen, Berlaku Bulan Ini (Flores local news report)
• Kapal Wisata dan Sarang Walet Mulai Dikenakan Pajak Daerah (regional business report)
• Pemkab Manggarai Barat Wajibkan Kapal Wisata Lunasi Pajak Daerah (regional RRI report)
• Sejumlah Kapal Phinisi Manipulasi Data Pajak Derah, Wabup Yulianus Turun Tangan (InfoMabar local report)