By Doreen Ling
KUCHING, Oct 10: In conjunction with Visit Malaysia Year 2026 (VMY2026), Prime Minister Datuk Seri Anwar Ibrahim has announced up to RM1,000 in tax rebates next year on entry fees to local tourist attractions and cultural programmes.
In his tabling of Budget 2026 today, the prime minister said this was to encourage Malaysians to travel domestically and boost the local tourism industry.
This incentive was introduced in conjunction with the VMY2026 campaign.
Other incentives include tax deductions of up to RM500,000 for tourism project operators who renovate or upgrade their business premises, as well as a 100 per cent income tax exemption for tour operators on increased earnings from tour packages to Malaysia.
The same 100 per cent exemption also applies to companies, associations, and organisations that organise international-level conferences, trade exhibitions, or incentive events.
Additionally, companies organising international arts, cultural, tourism, sports, or recreational events involving foreign participants will be granted a 50 per cent income tax exemption on statutory income.
For taxi drivers, the government will continue providing full excise duty and sales tax exemptions on the purchase of new national cars (PROTON and PERODUA) by taxi and private hire car owners.
“To enhance operational efficiency and safety, HRD Corp will allocate RM10 million to cover training costs and allowances for licensed taxi drivers who contribute to the fund to undergo capacity-building programmes,” said Anwar.
On VMY2026, he said that the government hopes to attract 47 million visitors and generate RM329 billion in tourism revenue.
“This will create significant economic spillovers for small traders, tourism entrepreneurs, rural communities, craft producers, and the people at large.” — DayakDaily
