The Malaysian government is going ahead with its tourism tax to be imposed from 1 September at a flat rate of MYR10 (USD2.33). Earlier it had been expected that the levy would apply from either July 1 or August 1; that it would be a progressive levy, ranging between MYR2 (USD0.45) and MYR20, depending on the standard of hotel accommodation; and that it would apply to both locals and tourists.

Malaysians and permanent residents are exempt. Foreign tourists will be charged a flat rate of RM10 per room regardless of the accommodation category.