KUCHING: Several tax breaks for the tourism sector announced by the federal government in the Short-Term Economic Recovery Plan (Penjana) reflect the government’s sensitivity to the plight of those in the tourism industry.
Tourism, Arts and Culture Minister Datuk Abdul Karim Rahman Hamzah, who is also Youth and Sports Minister, said hopefully with such help from the government, the tourism industry could take off and recover from the slowdown faster than expected.
“Any incentive or stimulus package for those in the tourism industry is very much welcome and will be of great help to the tourism industry that is affected by this Covid-19 pandemic,” he told New Sarawak Tribune when contacted on Saturday.
Karim also thanked the federal government and Prime Minister Tan Sri Muhyiddin Yassin for looking into the difficult situation faced by the tourism industry players at this trying time.
To reactivate the tourism activities, Muhyiddin on Friday, when announcing the Penjana, said the tourism tax would be fully exempted from July 1 to June 30 next year.
He also announced the exemption of service tax for hotels would be extended from Sept 1, 2020 to June 2021.
The deferment of tax instalment payment for tourism industry players such as tour agencies, hotel operators and airline would also been extended for another three months from Oct 1 to Dec 31 this year.
The personal income tax relief of RM1,000 given for domestic tourism expenses would be extended to Dec 31, 2021.
