A photo of the man posing with his pants around his ankles on Mount Agung went viral last week.
The man, identified only as Yuri, has apologised but will be barred from re-entering Indonesia for at least six months.
Bali has recently increased efforts to crack down on badly-behaved foreign tourists.
Mount Agung, the highest point on the island, is believed by Hindus to be the home of the gods. A local official said there was "no excuse" for his behaviour.
"He violated norms and showed no respect for our culture," Bali Law and Human Rights Office head Anggiat Napitupulu told The Jakarta Post.
In a video posted on Instagram in Russian, Yuri said: "My action has no excuse. The only thing that led to what happened was my personal ignorance."
He later took part in a special cleansing ceremony for the mountain - a ritual often held by locals after such incidents.
Wijaya, Russia's honorary consul general in Bali, told CNN Indonesia that the tourist was "crazy" and that deporting him was the right thing to do. Many locals on social media also supported his deportation.