Datuk Tan Kok Liang
KOTA KINABALU: The proposed departure levy to be imposed on Malaysians travelling abroad would not give the desired effect the government wants to see on domestic tourism.
This is because not all air passengers are tourists, Malaysian Association of Tour and Travel Agents (Matta) President Datuk Tan Kok Liang stressed.
Tan was asked to comment on the departure levy to be imposed on all outbound air travelers, starting June 1 next year as part of the Federal Government’s move to boost domestic tourism.
He pointed out that a number of Malaysians fly internationally for other reasons such as religious reasons, (to perform the umrah, Haj and pilgrimage to the Holy Land), education, business and seeking medical treatment.
“Therefore the departure levy will NOT have significant positive impact on domestic tourism unless the leisure travelers are on extreme budget constraints and are very price sensitive.
“Malaysian holiday makers have their own dream holidays and imposing exit tax would not deter them from overseas travel.In fact a majority of countries do not impose exit tax,” he said adding that airport taxes and exit taxes are two different matter.
Tan is of the opinion that domestic tourism can be improved by providing healthier tourism fundamentals, better tourism packages and capping on domestic air tickets.
As of now, air passengers are paying ‘passenger service charges’, Tan lamented adding, “now have to pay additional ‘exit tax’ but the airport facilities remain unchanged.
“Would the new tax deter the Sabahans not to travel abroad but domestic? Unlikely. So we are just paying more taxes,” he said.
On Friday, Finance Minister Lim Guan Eng when tabling the national 2017 budget said Putrajaya plans to impose a departure levy on all outbound air travellers, and that the proposed rate will be two-tiered, RM20 for outbound travellers to Asean countries and RM40 for those going to other countries.