News

The Tourism Ministry Can't Make Up Their Minds Regarding The Tourism Tax

Nicholas Chow
28/06/2017
02:05 MYT

If you're not sure what the new tourism tax is, don't worry; you're not the only one.

The government has decided to defer the implementation of the tourism tax - but they are not so sure why themselves, too.
A local daily reported on Tuesday that Tourism and Culture Minister Datuk Seri Nazri Aziz has called off the implementation of the tax, citing that the system was not in place to implement the new ruling.
However, Nazri brushed off the report when contacted by The Star Online, and suggested that the Customs Department would be able to answer the question.
Customs Director-General Datuk T. Subromaniam, when contacted, also declined to comment on the matter.
Subromaniam told the news portal that the Customs Department will release a statement soon regarding the implementation of the tourism tax.
The sudden announcement of the new ruling was reportedly met with protests from the Sabah and Sarawak governments, who - alongside hotel operators nationwide - want the tax to be deferred until they have a clear system in place.
So yeah, it is safe to say that they have no idea when the tax will be implemented too.
Earlier this month, the Customs Department revealed on their website that the tax will officially take effect on 1 August.
The taxation rate will reportedly be based on the rating of a hotel, which means that customers will have to pay up to RM20 more a night for rooms at a five-star hotel.
A couple of days after the announcement by the Customs Department, Nazri clarified that the government wants the new tax system to be implemented sooner - 1 July, to be exact.
Judging by the rate things are going, the year 2020 would be a safe bet.
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