Wednesday 8 August 2018

Tourism tax no burden to Malaysians, must be maintained – Abdul Karim


SIBU: Minister of Tourism, Arts, Culture, Youth and Sports Datuk Abdul Karim Rahman Hamzah says the tourism tax introduced last September should be maintained as it is not burdening Malaysians.

He said this yesterday in response to Deputy Minister of Tourism, Arts and Culture Muhammad Bakhtiar Wan Chik’s statement that his ministry had no intention of cancelling the tourism tax imposed on foreign tourists since Sept 1 last year.

Bakhtiar said based on their assessments, tourism tax, which was also implemented by other countries such as the United States, the Netherlands, Italy, Singapore and Indonesia, had proven to have a positive impact on the tourism sector in the long run.

He was further quoted as saying the tax that was introduced under the provisions of the Tourism Tax Act 2017 only applied to foreign tourists, and therefore would not burden the local people.

On this, Abdul Karim, who is Asajaya assemblyman, said: “Personally I agree to this. The government should not cancel tourism tax. It is not burdening Malaysians, and only foreigners are charged the tax.

“Further, it is a pittance to them. It is not proven that foreign tourists are shying away from Malaysia because of tourism tax.”

Former travel agent Robert Tan concurred with Abdul Karim, saying the RM10 tax for foreigners was very nominal, and should not be an issue.

“When we travelled to the US or Indonesia, we paid even more. Tourists are prepared to pay local tax. As long as the country offers big attractions, the tax is not a problem.

“In USA, they imposed US$10 (RM40), but every year the number of tourists keeps on increasing. They imposed entry visa at US$150, and still people go there.

“For Malaysia, RM10 is only a token, and if we offer value for money destination, beautiful beaches, shopping, education faculties, rain forests, tourists will not only pay for it (tax), they will flock to the country.

“Look at the Chinese tourists from China, they have to apply visa and pay higher visa fee and tax, and yet the number of incoming tourists has increased from one million to a projected three million. Malaysia is a beautiful country.”

It was recently reported that Malaysian Association of Tour and Travel Agents (Matta) had called on the government to abolish Tourism Tax (TTx), charging a flat rate of RM10 per room per night on foreigners staying in hotels or registered private accommodation.

Its president, Datuk Tan Kok Liang, reportedly said tourists were welcome to have an enjoyable holiday experience and spend freely on accommodation, food and beverage, tourist attraction and tour excursion, but collecting tax from them would be counter-productive. -TheBorneoPost
  

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