KUALA LUMPUR, June 12 — Sarawak is withdrawing its representative from the Malaysian Tourism Board with immediate effect, following the state’s disagreement with the federal government over the introduction of a new tourism tax.
The decision was announced today by the Sarawak Chief Minister’s Office.
“The Sarawak state government has decided to withdraw the participation of its representative in Malaysia Tourism Board with immediate effect,” it said in a statement.
“The state government deems that the participation of its representatives in Tourism Malaysia is not necessary as this is duplicating the role and functions of the Sarawak Tourism Promotion Board.”
Sarawak Tourism Minister Datuk Abdul Karim Rahman Hamzah previously urged Putrajaya to defer the July 1 implementation of the new tax for Sabah and Sarawak, saying the federal government should respect the Malaysia Agreement 1963 when deciding such matters.
This led to a rebuke from Tourism and Culture Minister Datuk Seri Nazri Aziz, who yesterday told his Sarawak counterpart not to be confrontational over the matter.
Nazri also said the tax would benefit Sarawak more than it would affect tourism in the state, noting that luxury hotels that would attract the highest tax rate were a rarity in the state.
The new tax will be levied starting July 1 on all patrons at a rate of RM20 per room night in five-star hotels, RM10 at four-star outlets, RM5 for three- and two-star hotels and RM2.50 for orchid and other non-rated accommodation premises (RM2.50).
Malaysian Tourism Promotion Board chairman Datuk Siew Ka Wei previously said the tax would ensure the industry’s sustainable growth and provide financial support for aggressive marketing campaigns.
My comment: The tourism tax will be implemented on 1st July 2017 instead of 1st August 2017. What is a tourism tax? Basically tourism tax is a tax that collected from any tourist who will stay in hotels in Malaysia. The purpose of this tax is to contribute to the development and promotion of tourism in Malaysia, so in easiest way to understand is, people come to Malaysia, they will pay for the development of tourism in this country.
Is it logic or illogical? Yet to read bout this matter but personally, this is ridiculous! The government should invest more money to attract more tourist to fill in the hotels. To collect Tourism Tax from them will kill the industry slowly!
Why we need to live with so many tax in this country? We have GST and i heard that the government collected so many under GST. Take small portion from GST for Tourism Development?
For the 1st 9 months, the GST in Malaysia collected almost RM55 Billion revenue. Just assume that the Malaysia Government have collected RM65Bil from GST last year , 5% for the tourism development is more than enough.
I would like to 100% support the move that Sarawak Government has made. That is a very good move! Dont easily get bullied by the federal law makers! Next is Sabah. Just wait and see what Sabah will say?
🙂
travelbosing 