Govt’s Plan to Collect Levy from Flight Fares Draws Backlash

Through a presidential regulation currently in the works, the government plans to form an agency and manage endowment funds for tourism, with IDR2 trillion of funds allocated.

Ni Luh Anggela

22 Apr 2024 - 19.22
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Govt’s Plan to Collect Levy from Flight Fares Draws Backlash

One of the tourism points in Medan, North Sumatra./Kemenparekraf Doc.

Bisnis, JAKARTA—According to aviation observer Alvin Lie, the government plans to impose a tourist levy on flight tickets, which he deems unethical and will impact the aviation industry. Alvin claims that the government should be able to collect the levy directly instead of embedding it in the flight ticket price, suggesting that the tourism levy could be charged to hotels or when tourists apply for a visa on arrival (VOA).

"The government's plan to impose a tourism levy embedded in flight ticket prices is highly unethical and inappropriate," he told Bisnis on Sunday (4/21/2024).

A survey conducted by Alvin and his team in early January 2024 found that only 12.1 percent of airline passengers travel purely for tourism or vacation purposes. The survey gathered responses from 7,414 respondents using the stratified random sampling method.

The survey was conducted at five major airports in Indonesia, namely Kualanamu International Airport, Soekarno-Hatta International Airport, Juanda International Airport, I Gusti Ngurah Rai International Airport, and Sultan Hasanuddin International Airport.

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© Copyright 2024, Hak Cipta Dilindungi Undang - Undang.