As we’re all surely aware by now, the tourism tax is expected to be implemented next week on the 1st of August. News of the tax implementation has caused confusion and even slight panic among Malaysians, as it was initially unclear how the tax will affect locals.
Well, seeing that we’re less than a week away from its supposed implementation, we thought we should remind all of you what to expect from the tourism tax. Let’s break things down for y’all!
1. Malaysians don’t need to pay the tax at all
Yup, this is true! According to recent news, Malaysians are now completely exempt from paying the tourism tax. This follows earlier news of Malaysians only being exempt from paying the tax for 3-star hotels and lower.
“We will impose a RM10 flat rate from five-star to zero-star hotels for foreign tourists, and Malaysians will be exempted from the tax across all classifications of hotels,” stated Tourism and Culture Minister Datuk Seri Nazri Aziz in Parliament today (26th July), according to The Star.
2. Hotels with contracts are exempted from the tax until March 2018
According to the Malay Mail, hotels that are bound by contract to foreign tour operators until March 31st 2018 will be exempted from the tourism tax.
Source: The Smart Local
“The contracted rates would be considered up to March 31, and by April 1, next year, all contract rates should include the tourism tax,” stated Datuk Seri Nazri.
Looks like this can help narrow your options for now, at least!
3. The tax will also be applied to Airbnb properties
Source: Igloohome
The Tourism and Culture Minister also stated that Airbnb properties will be rated and taxed upon the tourism tax implementation, but only for those that have more than five rooms under the same owner, according to the Malay Mail.
4. The tourism tax MAY be implemented on 1st August
Source: The Star
Although it’s less than a week away, it’s still not fully confirmed whether the tax will officially be implemented on the 1st of August. According to The Star, Datuk Seri Nazri stated that it is now up to the Prime Minister to decide when it will officially be implemented.
Well, we hope that helps clear some things up! Hopefully things will go smoothly once the tourism tax is implemented too!
Also read: Tourism Tax Introduced to Pay Back RM250 Million Debt Incurred by Tourism Board
