Tag: tourism tax
Budget hotels say they are losing to Airbnb operators who do not have to pay taxes imposed on hotel operators.
The finance minister says states have no right to tourism tax, but Putrajaya is giving them 50% of the tax revenue out of respect.
State minister in charge of tourism Abdul Karim Rahman Hamzah hits out at the finance minister over tax revenue owed to Sarawak.
However, Abdul Karim Rahman Hamzah leaves it to the people to judge if the Pakatan Harapan government has flip-flopped on its earlier decision.
Budget hotel associations say the government has not approached them for discussions on the tax, and that foreign tourist arrivals have taken a hit from the RM10 fee.
Profits have dropped by 20% since the tax was introduced, says association president.
Minister Mohamaddin Ketapi says the government will review the tax in the interest of ensuring tourist arrivals to the country.
Hotel associations say the tourism tax is more harmful than GST.
Federal minister says floor prices are needed to avoid airlines dropping fares too low and affecting other operators.
Tourism and Culture Minister Nazri Aziz says the payments will be made directly to the state governments every three months.
Pahang PKR Youth chief Wong Chun Yuan voices concern over statistics he claims were obtained from someone inside the tourism and culture ministry.
Like all foreigners staying in hotels here, customs chief says officials from AirBnB have agreed to ensuring foreigners using their services here pay the same.
Deputy minister of tourism and culture Mas Ermieyati Samsudin expects 5% increase in the number of tourists next year.
It says hoteliers will have to spend at least RM5,000 to upgrade their accounting systems, which had only recently been upgraded at a cost of RM20,000.
This is because the tax collection will be made by the finance ministry, and Najib is the finance minister, says Sarawak minister Abdul Karim Rahman Hamzah.
However, minister remains coy on why Sarawak's share of the projected tourism tax revenue has been reduced.
Only foreign tourists will be charged the RM10 tax for their stay in all types of hotels.
State tourism ministers criticise Tourism and Culture Minister Nazri Aziz's backtrack on promise to share tax revenue between Sabah, Sarawak and peninsula.
Abdul Karim Rahman Hamzah says the flat rate of RM10 is a small amount to charge foreigners for their stay at hotels.
Minister Nazri Aziz says it is compulsory to register in view of the implementation of the tourism tax from Aug 1.
They say they need to update their systems and revise contracts with travel agents.
Had Umno-BN engaged stakeholders in a comprehensive, systematic manner, the multiple revisions to the policy need not have taken place.
Tourism and Culture Minister Nazri Aziz says flat rate of RM10 per room per night for foreigners, regardless of hotel star rating, will make it easier for the tax to be collected.
Abang Johari Openg says this is because many local tour agents and hotels have already made and paid forward bookings for their packages for early next year.