Tourism Minister proposes personal tax reduction incentive to boost domestic tourism

Dato Sri Tiong King Sing. Photo credit: Dato Sri Tiong King Sing/Facebook
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By DayakDaily Team

KUCHING, Nov 9: Minister of Tourism, Arts, and Culture (Motac) Dato Sri Tiong King Sing has proposed a personal income tax reduction incentive to encourage Malaysians to vacation locally, in hopes of strengthening the tourism sector ahead of Visit Malaysia Year 2026 (VM2026).

Tiong suggested a special exemption for domestic tourism expenses, combining this with the proposed tax reduction for greater impact.

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Although these changes fall under the jurisdiction of the Ministry of Finance (MOF), Tiong stated that Motac has held discussions with MOF and relevant agencies to explore these incentives further.

In Parliament yesterday, Tiong also addressed the issue of foreign nationals, particularly from China, allegedly misusing their visas to conduct illegal business activities in Semporna, Sabah.

The Sabah Immigration Department has been instructed to take action, though he acknowledged that staff shortages have impacted enforcement effectiveness.

To address this, Motac is in talks with the Public Service Department Malaysia (JPA) to increase recruitment, with plans to separate licensing and enforcement functions at both the headquarters and state levels.

In the interim, contract officers will be appointed to strengthen enforcement efforts, supporting local businesses affected by illegal operations.

Tiong revealed that Motac plans to create an enforcement task force, chaired by himself, in collaboration with local authorities, Immigration, police, the Malaysian Marine Department, and other agencies.

Additionally, Tiong announced that Motac has relaxed the requirement for tour guides on sightseeing buses for certain non-tourism purposes, like conference transportation and point-to-point transfers.

Applications for these exemptions can be submitted online through the Tourism Licensing and Enforcement System (TOURLIST).

Motac is also in talks with the Ministry of Transport (MOT) to reclaim licensing and enforcement authority for tour buses to streamline operations. — DayakDaily

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