Malaysia aims to be in world's top 10 tourist destinations by 2019
Malaysia aims to be among the world’s top 10 tourist destinations in 2019, said Tourism, Arts and Culture Minister Mohamaddin Ketapi today. Photo credit: Hafiz Sohaimi
Malaysia aims to be among the world’s top 10 tourist destinations in 2019, said Tourism, Arts and Culture Minister Mohamaddin Ketapi today.
He said the ministry has undertaken several efforts to promote Malaysia as a must-visit destination and will set new strategic directions to provide a conducive environment for industry players to drive and boost tourism growth.
“It is our aim to improve the country’s position after being ranked number 12 last year. We must be more competitive internationally.
“We will have good cooperation between federal and state governments to promote Malaysia and discuss with local airlines companies to have more direct flights to Malaysia,” he told a press conference after launching the Matta Fair 2018 at Putra World Trade Centre (PWTC) here today.
Mohamaddin said with resilience, innovation, product quality and excellent service standards, the tourism sector should be able to drive the nation forward, making Malaysia a preferred travel destination for tourists.
He said the tourism industry in Malaysia had grown significantly and is targeting a foreign tourist arrival goal of 26.4 million with a total expenditure of RM84.9 billion this year.
From January to April 2018, Malaysia recorded 8.4 million international tourists, an increase of 37.2 per cent from China, India (21.2 per cent, South Korea (26.5 per cent, Canada (28 per cent) and United States of America (23 per cent).
The 46th edition of the Matta Fair being held from Sept 7 to 9 features 1,336 booths offering international and domestic travel promotions and discounts, including 86 booths offering umrah packages. – BERNAMA
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SST: Not much difference for service sector
The implementation of the Sales and Services Tax (SST) beginning this Saturday is not expected to make a major difference in the price of services.
According to tax expert Norsa’adah Ahmad, this was because the six per cent tax imposed on services such as those provided by hotels, insurance, and food catering companies was the same as that imposed by the Goods and Services Tax (GST) before this.
“There should not be much difference with the previous price...most (prices) will remain the same.
“Compared to the effect (of SST) on the price of other goods where the public is watching to see if prices increase or not, the price of services is not expected to show much difference,” she told Bernama today.
However, Norsa’adah who is also a member of the Malaysian Institute of Accountants (MIA) did not discount the possibility of double taxation on the price of food and drinks sold in food outlets.
She said a 10 per cent sales tax is imposed on certain products like canned drinks at the production stage and it was not impossible that restaurants would increase their prices to cover the service tax.
Among the services on which the SST is imposed are those provided by night clubs, private clubs, golf clubs, casinos, lotteries, telecommunications, paid television, legal services, accounting services, forwarding agents, architects, engineers, valuers, security, parking, car rentals, advertising, domestic services, information technology services, credit cards and electrical services.
Meanwhile, hoteliers also do not expect an increase in room rates with the SST except for the usual increase during peak periods such as school holidays due to high demand.
However, executive director of the Malaysian Association of Hotel Owners Shaharudin M.Saaid said if the mechanism for the tax was the same as the previous SST, the room rates are expected to decrease.
“If the mechanism is the same as SST 1.0 before the GST was imposed, then room rates should be cheaper as the SST 1.0 did not impose a six per cent tax on service charges,” he said.
He said under the GST, a six per cent tax was imposed on service charges, resulting in an increase in the price of rooms and other services.
However Shaharudin hoped the mechanism for the implementation of the new SST is explained to the hotels quickly to avoid any confusion.
“We are waiting for clarification from the Royal Malaysian Customs Department,” he said. - Bernama
