<![CDATA[This study examines the juridical dimensions of tourism business activities grounded in local wisdom values within the framework of Law Number 18 of 2025 as the third amendment to Law Number 10 of 2009 on Tourism, with particular emphasis on Bali Province. The new regulation introduces fundamental transformation in tourism industry governance through the integration of local wisdom values, sustainability principles, and community participation enhancement. The methodology employed is normative juridical with statutory and conceptual approaches to analyze the legal construction of locality-based tourism business. Research findings indicate that the regulation provides solid juridical basis for advancing the tourism sector based on local wisdom through four main pillars: (1) legal legitimacy for traditional villages as legal entities in tourism governance; (2) protection construction for local communities' economic rights; (3) regulation of tourism business activities sensitive to local socio-cultural contexts; and (4) legal instruments for proportional economic benefit distribution. In the context of Bali Province, implementation of this regulation faces harmonization challenges with regional regulations and awig-awig as customary law, alongside the urgency to develop tourism business models accommodating balance between economic expansion and cultural preservation. This study proposes the need for regulation synchronization across governmental levels, institutional strengthening of traditional villages, and formulation of sustainable tourism business practice standards adaptive to Balinese locality contexts.]]>
