The city of Jakarta has officially implemented a 10% tax on padel court rentals, marking a significant shift in how recreational sports are taxed in the region. This move falls under the Specific Goods and Services Tax (PBJT), which targets various entertainment and sports services across the capital.
The regulation was formalized through a decree issued by the Head of the Regional Revenue Agency (Bapenda) of DKI Jakarta, Lusiana Herawati, on May 20, 2025. It amends previous tax guidelines to include padel courts among taxable entertainment services. The new policy means that consumers renting padel courts will now see the tax included in their total rental fees, although the responsibility for depositing the tax lies with the service providers.
Padel, a sport that has gained popularity in Jakarta in recent years, joins a long list of other recreational activities subject to the same tax rate. These include fitness centers offering yoga and pilates, futsal and soccer fields, tennis and badminton courts, swimming pools, and even facilities for archery, rock climbing, and martial arts.
While the tax rate for padel and similar services is set at 10%, nighttime entertainment venues such as karaoke bars and spas face a much steeper rate of 40%. The PBJT is designed to be paid by end consumers, but its collection and reporting are managed by the businesses offering these services.
This development reflects Jakarta’s broader strategy to increase regional revenue through leisure and lifestyle sectors, especially as urban sports continue to thrive among residents. For padel players and operators alike, the new tax introduces both financial and administrative adjustments that could shape the future of the sport in the city.
