Malaysia to apply tourism tax from August

The Malaysian authorities are planning to collect a tourism tax from overnight stay surcharge in any type of accommodation in the country from August, media reports said on Wednesday.

The Malaysian Customs Department said the tax would apply, starting August 1, to Malaysians and foreigners staying in any accommodation either on holidays or on business trips, according to the New Straits Times.

The tax surcharge will be $4.69 per night in five-star hotels; $2.34 for the four-star; $1.17 for accommodations rated between one- and three-star; and $0.59 for those unrated.

Hotels with less than 10 rooms and those managed by nonprofit religious organisations would be exempt from the tax.

Minister of Tourism and Culture Mohamed Nazri Abdul Aziz said the new tax could generate $153 million in revenue on a 60 per cent occupancy rate from the 11 million rooms available in the country.