SABAH wants to take a joint stand with Sarawak on the tourism tax, says Sabah Tourism Minister Masidi Manjun.

Although the tax would be implemented in a week, he said Sabah is still uncertain if the tax will benefit the state tourism industry later.

Come July 1, tourists will have to pay a tax of between RM2.50 and RM20 per room per night for accommodations rated above three stars.

And, he said that the Sarawak Tourism Ministry is welcomed to work with Sabah to make a joint stand for a memorandum.

“Sabah wants to contribute ideas and proposals to fine-tune certain provisions of the Act to strengthen the tourism industry.

“The industry has been a very resilient industry, and at times the savior of Malaysia’s economy during challenging times.

“In the case of Sabah, it’s the only major industry controlled by locals in terms of employment and therefore, crucial for the government that the industry is well-managed and regulated,” he said in a statement issued after the cabinet meeting late last night. 

On June 13, Masidi said he was surprised over Federal Tourism and Culture Ministry’s insistence on the tax despite Sabah rejecting the tax proposal in September last year.

However, he said Sabah Cabinet members now accepted and took note of the merits of the Tourism Tax Act, but decided “further deliberations and clarity on some pertinent issues” was still needed.

He said his ministry is now studying the issues, and suggested the tourism ministries of both states work together to formulate a joint memorandum to be submitted to their respective cabinets or Chief Ministers. 

He also noted Sarawak’s opposition to the tax, conveyed by Amar Abang Johari Tun Openg to Sabah Chief Minister Musa Aman, during the latter’s first visit as Sarawak Chief Minister to Kota Kinabalu last March.  

“The joint memorandum would then be handed by both Chief Ministers to the Prime Minister who is also the Finance Minister to consider as the tourism tax comes under the purview of the federal Finance Ministry,” he said.

The tax was read out by Tourism and Culture Minister Nazri Abdul Aziz in Dewan Rakyat for its second and third readings at 1.39am on April 5 before it was passed at 4.57am.

Throughout the four-hour debate, save for Darell Leiking (Warisan-Penampang), none of the MPs from Sarawak or Sabah debated the bill, much less opposed it. – June 23, 2017.