MELAKA: Budget hotel operators in the state are having a hard time collecting the RM10 tourism tax (TTx) from foreigners, which was implemented on Sept 1.
State Malaysia Budget Hotel Association (MyBHA) chairman Goh Hock Gin said many foreigners were unhappy with the tax, with some even causing a scene at hotel registration counters.
"Many of them are refusing to pay the RM10 TTx and we are facing many operational problems.
"Some customers who had pre-booked with us simply walked off, although we had reserved rooms for them.
"Some even made a lot of fuss at the counter and to avoid the ugly scene, we had no choice but to absorb the cost," he told New Straits Times today.
Goh, speaking on behalf of 150 budget hotel operators in Melaka, said budget hotels were the ones most affected by the implementation of the tourism tax because travellers opting for these hotels were trying to minimise their travelling expenditures.
"If the room rate is RM50 per night, an additional RM10 would be an adjustment of a 20 per cent increase. This is a lot for budget travellers.
"Some of our room rates are as low as RM40 per night. Those who can afford to stay in four-star or five-star hotels will not have a problem with forking out an additional RM10, but this is not the case with budget travellers," he said.
Goh suggested that the government collect the taxes at the entry and exit points in Melaka instead of making the operators do the collection," he said.