If you had booked a hotel or visited a tourist attraction in Malaysia some time between March and December last year, you could be eligible for an income tax relief of up to RM1,000 on the expenses. As you may remember, the government announced in February 2020 that it would introduce a new special tax relief to help stimulate the pandemic-stricken local tourism sector.
To qualify for the tax relief, your stay must be at one of the accommodation premises that is officially registered with the Commissioner of Tourism Malaysia. You can easily check this on the Ministry of Tourism, Arts and Culture Malaysia website, which has a searchable list of registered tourist accommodation premises. There are 4,570 accommodation premises registered.
This tax relief applies on payments made between 1 March 2020 and 31 December 2021 up to the amount expended, limited at RM1,000 for the assessment year. As is usual with tax relief claims, you will need to keep the relevant receipts and supporting documents for seven years, as it may be requested by LHDN as proof.
This tourism-related tax relief is one of several new tax measures introduced to help stimulate the economy as well as lighten the burden of Malaysians in the Covid-19 landscape.