Searching for tourism funds, Penang to taxes hotel rooms

GEORGE TOWN, Nov 29 — Penang is mulling a state taxes on the use of hotel rooms by local and foreign tourists in the state.

Penang State Executive Councillor for Tourism Development Danny Law Heng Kiang told the particular Penang Legislative Assembly that resorts in Penang have agreed to the particular imposition of the tax.

“The hotels have agreed to collect tax for hotel rooms provided that a number of conditions are met, ” he or she said.

The resorts want the tax to be enforced on all rooms taken up by all tourists, local and international.

The second condition is that all hotels, including budget plus boutique hotels, must impose the particular tax, not only a few resorts plus hotels.

Law stated the third condition is that the tax income collected must be channelled back into tourism development for the state, either through local or international promotional events plus programmes.

Backbencher RSN Rayer (DAP — Seri Delima) voiced his objection, saying that it is far from right to tax tourists at the stage of arrival, at the Penang Airport terminal and the port, as they are greeted with poor facilities.

“How can we expect these to pay when the airport is in this kind of poor condition? ” he requested in reference to several incidents once the airport had flooded after a large downpour.

The state authorities had raised this issue with Malaysia Airports Holdings Bhd (MAHB) and also the Transport Ministry.

The particular airport was just recently upgraded within a RM250-million expansion project funded by ministry and undertaken by MAHB.

Tourist arrivals towards the state have increased annually for a price of between nine and ten per cent since George Town was designated as a Unesco world heritage site in 2008.

Recently, Penang Chief Minister Lim Guan Eng revealed that Penang received 4. 4 million visitor arrivals for the first 10 weeks of 2013 and the state is usually expected to record between 5. 2 million to 5. 5 mil tourist arrivals by the end of the calendar year.

The Malaysian Association of Hotels Penang branch chairman Mary Ann Harris reportedly stated 2012 saw one million hotel rooms sold in George Town and 729, 334 rooms sold in the seaside areas.

Later, outside the assembly, Law said the state authorities has been actively promoting tourism which is why the number of tourist arrivals is expected to continue rising.

Whenever asked for details on the proposed taxes, Law said it would be revealed in detail in the state Budget 2014.

Lim is expected to desk the Penang Budget 2014 afterwards this afternoon.


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GEORGE CITY, Nov 29 — Penang is usually mulling a state tax on the use of hotel rooms by local and international tourists in the state.

Penang State Executive Councillor designed for Tourism Development Danny Law Heng Kiang told the Penang Legislative Assembly that hotels in Penang have agreed to the imposition of the tax.

“The resorts have agreed to collect tax designed for hotel rooms provided that several conditions are usually met, ” he said.

The hotels want the particular tax to be imposed on all of the rooms taken up by all visitors, local and foreign.

The second condition is that all resorts, including budget and boutique resorts, must impose the tax, not only a few resorts and hotels.

Law said the third situation is that the tax revenue collected must be channelled back into tourism development for your state, either through local or international promotional events and programmes.

Backbencher RSN Rayer (DAP — Seri Delima) voiced his objection, saying that it is not right to taxes tourists at the point of arrival, at the Penang International Airport and the port, as they are greeted with bad facilities.

“How can we expect them to pay once the airport is in such poor situation? ” he asked in mention of the several incidents when the airport experienced flooded after a heavy downpour.

The state government had elevated this issue with Malaysia Airports Holdings Bhd (MAHB) and also the Transport Ministry.

The airport was just recently upgraded in a RM250-million expansion project funded by the ministry plus undertaken by MAHB.

Tourist arrivals to the state possess increased annually at a rate of among nine and 10 per cent considering that George Town was designated as a Unesco world heritage site within 2008.

Recently, Penang Chief Minister Lim Guan Eng revealed that Penang received four. 4 million tourist arrivals for your first 10 months of 2013 and the state is expected to record between 5. 2 million in order to 5. 5 million tourist arrivals by the end of the year.

The Malaysian Association of Hotels Penang branch chairman Mary Ann Harris reportedly said 2012 saw one million hotel rooms sold in George Town and 729, 334 rooms sold in the beach areas.

Later, outside the assembly, Regulation said the state government has been positively promoting tourism which is why the number of visitor arrivals is expected to continue increasing.

When asked for information on the proposed tax, Law stated it would be revealed in detail in the state Budget 2014.

Lim is expected to table the Penang Budget 2014 later this afternoon.

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