To quote the Chief Minister, “The sum collected was used to promote tourism in Penang and it has seen success because the number of tourists has increased drastically.The Penang government will continue the existing charge on hotel stays in the state when Putrajaya implements its new tourism tax next month. Lim Guan Eng, Penang Chief Minister said that the fee was still needed to fund promotional activities for the state.
The Bagan MP also claimed that the termination of existing hotel fees in Penang, Melaka, Langkawi and Kota Baru was raised when the Tourism Tax Act was debated in Parliament. He said the Tourism and Culture Ministry did not convey this to his administration.
Penang currently charges a fee of between RM2 and RM3 per room night through its local councils. The tax will be introduced on July 1 at a rate of between RM2.50 and RM25 per room right at hotels in the country.