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Travellers flying out of M'sia to soon pay RM8 exit fee to Asean, RM50 to non-Asean countries

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Malaysia's version of the UK's Air Passenger Duty will become reality soon:

 

https://www.theedgemarkets.com/article/departure-levy-be-gazetted-next-month-—-sources

The RM150 for non-ASEAN premium pax is new! Now that's a hefty levy!

 

Guess there'll be new threads about MH's ex-ASEAN fares in the future since transit pax aren't subjected to the levy (same for UK's APD) :D

 

BTW, if anyone is interested, Mavcom is studying the feasibility of amending the PSC (different airports with different PSCs, note that KLIA Terminal 1 and Terminal 2 are different terminals in the *same airport* despite people think otherwise).

Edited by Craig

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MAHB does not officially refer to them as Terminal 1 and Terminal 2. Most people just know them as KLIA and klia2.


The RM150 for non-ASEAN premium pax is new! Now that's a hefty levy!

Yes, but that is for First and Business class passengers. What is RM 150 to them?

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MAHB does not officially refer to them as Terminal 1 and Terminal 2. Most people just know them as KLIA and klia2.

 

Whilst that maybe true, but this is straight from AK's website:

 

Q: If I arrive at KLIA and I am flying on AirAsia, how do I get to KLIA2?

 

A: You may take the KLIA Expres train from KLIA to KLIA2. The journey takes approximately 3 minutes and costs RM2 per way.

You also have the option to take a Taxi. Please see this link for more information.

 

Please note that AirAsia is a point to point airline and we operate out/from a different airport which is KLIA2. Please also be mindful of our counter closing times as check in after counter is closed is not allowed.

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MAHB does not officially refer to them as Terminal 1 and Terminal 2. Most people just know them as KLIA and klia2.

Yes, but that is for First and Business class passengers. What is RM 150 to them?

 

RM 150 to buy things they want to use, yes.

 

RM 150 to go to the government, oh hell no!

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RM 150 to buy things they want to use, yes.

 

RM 150 to go to the government, oh hell no!

 

How much more tax do we need to pay?

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How much more tax do we need to pay?

You've complained about KLIA being crappy and you're opposed to more retail options at the airport. Now you're complaining because the government needs to raise money somehow. Funny.

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Yes, but that is for First and Business class passengers. What is RM 150 to them?

I found this type of thinking very disturbing. We are still not a socialist country, despite attempts by lots of politicians.

 

Please note that AirAsia is a point to point airline and we operate out/from a different airport which is KLIA2.

The taxiway connecting KLIA2 to 32L should be closed and removed, so KLIA2 can be totally different airport.

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How much more tax do we need to pay?

Obviously far more. You think you pay a lot in taxes? Surely people of other nationalities would laugh at your claim. All these new taxes are done to cover the idiocy of the current government in removing GST, which is a far more equitable.

 

In any case, F & J passengers can easily bypass the RM 150 fee by flying to Singapore & taking SQ to Europe & other points of the world.

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I found this type of thinking very disturbing. We are still not a socialist country, despite attempts by lots of politicians.

Sure, let's make it equal then. Who's going to feel the burn of RM150 more? Your average middle income once-a-year traveller who books the cheapest possible ticket to some nearby destination, or a business traveller on a long-haul F ticket that costs as much as a car (who probably isn't paying a dime out-of-pocket)?

 

I'm not saying they should take it to the UK APD levels, but having a tiered system would at least minise the impact on low cost/short haul travel while still increasing their stream of revenue. Unless, of course, people don't want to pay more to see their dream of KLIA becoming another Changi become a reality. These people can't be that unreasonable, right? :)

In any case, F & J passengers can easily bypass the RM 150 fee by flying to Singapore & taking SQ to Europe & other points of the world.

I wonder if it's based on the next destination or the final destination on the ticket (APD style). If it's the latter then you can't run away unless you're on a seperate ticket, though ex-SIN pricing may well outweigh the RM150 saving.

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Sure, let's make it equal then. Who's going to feel the burn of RM150 more? Your average middle income once-a-year traveller who books the cheapest possible ticket to some nearby destination, or a business traveller on a long-haul F ticket that costs as much as a car (who probably isn't paying a dime out-of-pocket)?

 

No, not that I think the tax should be equal between the classes. Just don't like the "What is RM 150 to them?" part.

Obviously far more. You think you pay a lot in taxes? Surely people of other nationalities would laugh at your claim. All these new taxes are done to cover the idiocy of the current government in removing GST, which is a far more equitable.

 

 

Agree on the GST part. They should've keep it. The next time they reintroduce the GST, there will be another change in government. But even without GST, we are already paying a lot in taxes, just that it was done so subtly that we don't even realize it.

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There is no telling they would not introduce other form of taxes, including this, had they retain GST.

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I found this type of thinking very disturbing. We are still not a socialist country, despite attempts by lots of politicians.

Indeed it is - this was what many people were saying when the airport taxes of klia2 were equalised with those at KLIA. That the extra sum was not significant in the overall context.

 

There is no telling they would not introduce other form of taxes, including this, had they retain GST.

I was one of those who did not think we should do away with GST because it is an equitable tax - the more you spend, they more you need to pay.

 

However, the previous government's implementation of GST was flawed and that was causing a lot of hardship to the people. Compound that to the huge amount of tax refunds that were deliberately delayed or withheld. Introducing GST without so many exemptions and at a lower rate (say 2 or 3%) would probably have made it a success.

 

Back on topic - the current government is trying to widen its tax net in the absence of GST. However, it is doing it rather quickly since a spate of new charges and taxes were introduced to the aviation/tourism sector. Is it any wonder that tourist arrivals are falling this year?

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Agree on the GST part. They should've keep it. The next time they reintroduce the GST, there will be another change in government. But even without GST, we are already paying a lot in taxes, just that it was done so subtly that we don't even realize it.

That's a populist move and I agree that they shouldn't have removed the GST. It's a more progressive tax system. Companies and employees have already invested so much time and money into it and with one stroke of a pen (not literally), it's back to SST. But it's resonated well with Malaysia's general population - they want first world amenities but not the taxes associated with it.

 

There is no telling they would not introduce other form of taxes, including this, had they retain GST.

There is no way for sure, but at least their consumption tax revenue won't be halved (I mean it's not like BN handed over PH a nice clean sheet either).

 

Back on topic - the current government is trying to widen its tax net in the absence of GST. However, it is doing it rather quickly since a spate of new charges and taxes were introduced to the aviation/tourism sector. Is it any wonder that tourist arrivals are falling this year?

What new charges? The RM10 (for 4* hotels and up) tourist tax per night? The departure levy is not even ratified yet so I doubt it has any effects on tourist numbers.

 

You seem to think that taxes are always a deterrent for tourists. I would say visa fees and barriers to entry are probably higher on their list. Most passengers do not see the tax breakdown of their air tickets. Thailand, Germany, UK, Mexico, US, and France are one of the most visited countries in the world but their taxes are way higher than Malaysia's. UK's VAT rate is 20% but that doesn't seem to stop Malaysians from visiting the UK. Likewise for Australia where the departure tax is >$100 AUD.

 

US/Canada is worse. The price you see in most states and provinces doesn't even include the state/provincial plus local tax (as opposed to all-in prices in Europe/AU). For example, in California, if you see a consumer good that cost USD $100, you'd have to pay at least USD $109.50 because of the 9.5% state tax.

 

But if you ask what about countries who are more like Malaysia; how about Philippines? Departure tax of $35USD and PSC of $17USD at MNL. Thailand's PSC is 700THB (~RM95). Vietnam and Myanmar's PSC is USD$20 (~RM 83) and all of them don't have ASEAN rate.

 

How about Mexico? They charge every visitor (regardless if you are there for business), it is only exempted for Mexican passport and permanent resident holders or visitors who stay less than 72 hours, US$20 to enter the country and they give you a slip of paper. If you lose that slip of paper, you'd have to pay US$40 when you leave.

Edited by Craig

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How much more tax they wanna impose. Sugar tax, maybe late night entertainment tax, fastfood tax. To them all of these are luxury items and unhealthy. 😂

 

At the end of the day GST was much linear.

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I think it was a mistake to abolish GST. It is so efficient to collect everything via GST. We did not need to abolish GST, just lower the rate to about 2-3%.

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I think it was a mistake to abolish GST. It is so efficient to collect everything via GST. We did not need to abolish GST, just lower the rate to about 2-3%.

 

Can't help it since most of our politicians are socialists, and they have been teaching socialist propaganda to the masses for a long time.

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How much more tax they wanna impose. Sugar tax, maybe late night entertainment tax, fastfood tax. To them all of these are luxury items and unhealthy.

 

At the end of the day GST was much linear.

 

this the fruits of abolish GST, just to fulfill public. so just enjoy it since day 1 they announced..

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We did pay GST for the food and other services considered to be consumed in Malaysia but this levy is far more than the GST that we saved. So it is another tax on the travelling public, on top of the Mavcom fee and increased airport taxes.


 

this the fruits of abolish GST, just to fulfill public. so just enjoy it since day 1 they announced..

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I think it was a mistake to abolish GST. It is so efficient to collect everything via GST. We did not need to abolish GST, just lower the rate to about 2-3%.

Not sure how efficiency comes into play, really. By your logic they should abolish every other tax under the sun for the sake of efficiency.

 

If anything is this a politically savvy move. If you are a once a year traveller you will (barely) feel the burn when you buy a ticket once a year. GST is much harder to avoid.

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I like to take advantage of MAB promo J fares for some short regional flights. Sometimes these are not much more than Y. For example eI need to book 1 way to SIN at short notice and the fare in J was cheaper.

 

To add a charge of RM150 onto a RM459 fare is utter madness

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I like to take advantage of MAB promo J fares for some short regional flights. Sometimes these are not much more than Y. For example eI need to book 1 way to SIN at short notice and the fare in J was cheaper.

 

To add a charge of RM150 onto a RM459 fare is utter madness

SG is an ASEAN country, no?

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