Departure levy only for air travel, says Guan Eng

Ragananthini Vethasalam Ragananthini Vethasalam Updated 5 years ago · Published on 9 Apr 2019 5:56PM · 2 Comments

Finance Minister Lim Guan Eng says the departure levy will only be applied for air travel and will not affect road and sea transportation. – The Malaysian Insight pic by Najjua Zulkefli, April 9, 2019.

DEPARTURE levy will only be imposed for international air travel and will not involve other modes of transportation, said Finance Lim Guan Eng.

“It is only for air (travel), nothing related to roads and ports. Only air travel outside Malaysia,” he told reporters after launching Credit Guarantee Corp’s 24th SME Awards.

He said the government is still forming the implementing mechanism for the levy.

“We will be making a decision later.This is only to put the infrastructure in place.

“I think we won’t be implementing so quickly. I think it will still be a few more months (before it is implemented),” Lim said.

On whether those performing haj and umrah will be subjected to the levy, Lim said those who perform the pilgrimage the first time will be exempted.

“Those who perform haj or umrah for the first time will not be taxed. We will announce the formula.”

The announcement is likely to be made after this year’s haj season.

Lim added that those travelling with private jets will also be taxed.

During the debates on the bill, MPs from both side of the divide expressed reservation about the bill and raised possibility that those using other forms of travel will also have to pay the levy.

They wanted to know if it will affect Malaysians travelling to Singapore or Brunei by bus daily to work.

The Departure levy bill was tabled for a second reading in Parliament today. – April 9, 2019.

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Comments

  • Thats the Thanks we get for voting PH. EveryDay, headlines in the newspapers scream myr billion corruption culprit caught! Myr million saved in mega projects. Where is this money? Instead, all we get r more and more new taxes? Air travel is a very common mode of transport to our cheapest family holiday outside of Malaysia, unless u r going to the border towns in Thailand for a dirty weekend!

    Posted 5 years ago by Mr Anderson · Reply

  • For the well2do, myr20-40 more is nothing. But nowadays muddleIncome families flying to another asian country for a holiday is common due to AirAsia. For a family of 3 to 6 members, this levy us not an insignificant amount. What r they to do for domestic tourism? Go to the beach, or the nearest waterfall?
    .

    Posted 5 years ago by Mr Anderson · Reply