KUCHING: Tourism, Arts, Culture, Youth and Sports Minister Datuk Abdul Karim Rahman Hamzah today questioned the Departure Levy Bill (2019) which was tabled for the first time on Monday by Deputy Finance Minister Datuk Amiruddin Hamzah before Dewan Rakyat Speaker Datuk Mohamad Ariff Md Yusof in Kuala Lumpur.
“Why does the government want to implement this Bill? Maybe, it does not have enough money.
“But if the government does not have sufficient money, then why are there a lot of projects costing billions announced in Kedah and Penang?
“As a civilian, I am not happy about it but if it could generate a little bit of income for the government and be used to further improve infrastructure in the country, then it is okay,” said Karim.
Speaking to reporters after a press conference to announce Kuching Waterfront Jazz Festival at Grand Margherita Hotel here, he said, “We have yet to see whether the Bill will affect the tourism industry.
“Of course, the travel agents have definitely arranged package expenses. Therefore, when the visitors come., they have to pay extra and it could have a temporary effect on them.
“It would not be called cheating the public if the bill is implemented as a directive. In Indonesia, it is called an exit tax. If they are leaving one Malaysian state for another, there is no need to pay the levy. They are required to pay only when leaving the country.”
Karim added: “If the exit tax is implemented, there is nothing much we can do about it. Of course, we would love to avoid taxes as nobody likes to pay them.”
During the tabling of the 2019 Budget, the government proposed imposing the departure levy on all out-bound air passengers effective from June 1, 2019, with those departing to Asean countries paying RM20 each and those leaving for other countries RM40 each in an effort to encourage the development of domestic tourism.
