Nazri Aziz: Tourism Tax collection will be split 50-50 between state and federal governments

Datuk Seri Nazri Aziz. -The Star filepic

KUALA LUMPUR: Half of the tourism tax imposed will go to the state where it is collected, says Datuk Seri Nazri Aziz.

"I am pleased to announce that the Government will now distribute RM5 out of the RM10 collected to every state," said the Tourism and Culture Minister.

He added that the distribution of the tax would now be just as it is now based on the amount collected by each state.

Nazri was answering a question by Anthony Loke (DAP-Seremban) in the Dewan Rakyat on Monday (March 12).

Currently, RM1 out of every RM10 collected in tourism tax per room per night is returned to state governments.

Nazri also said that state governments could now use that allocation for tourism, and promote the state more aggressively, organising more tourism activities, develop human capital as well as for the maintenance of small-scale tourism projects.

Replying an earlier question, Nazri said that the Government had collected RM39,975,634 in tourism tax from Sept 1 to Dec 31 last year.

He added that Kuala Lumpur, Sabah, Penang, Pahang and Johor were among the highest contributors to the tax since it was introduced.

Kuala Lumpur contributed the highest tax at RM16,625,258, followed by Sabah (RM4,530,628), Penang (RM3,881,655), Pahang (RM3,473,803), and Johor (RM2,716,739).