Jump to content


Icon Important Announcement!

New registrations require administration validation. This may delay registration approvals.


Photo

New Passenger Levy Beginning June 2019


  • Please log in to reply
18 replies to this topic

#1 Craig

Craig
  • Silver Member
  • 480 posts

Posted 03 November 2018 - 12:01 AM

Buried somewhere in Malaysia's 2019 Budget is a proposed new international air passenger levy beginning 01 June 2019.

 

Proposed levy:

- RM20 for travel to ASEAN countries 

- RM50 for travel beyond ASEAN countries

 

This is in addition to the PSC of RM11 for domestic travel, RM35 for ASEAN travel, and RM73 for beyond ASEAN flights.

 

PSC is charged based on the destination of your first outbound flight from Malaysia regardless of final destination (e.g. KUL-BKK-HKG on TG will incur RM35 PSC instead of RM73).



#2 Chris Tan

Chris Tan
  • Gold Member
  • 743 posts

Posted 03 November 2018 - 01:03 AM

I wonder if they realise that they are giving other ASEAN airlines (especially TG and SQ) an advantage over Malaysian carriers.

#3 Robert

Robert
  • Gold Member
  • 593 posts

Posted 03 November 2018 - 02:15 AM

Wonder what Tone the moan will say :)



#4 Mohd Azizul Ramli

Mohd Azizul Ramli
  • Platinum Member
  • 4,734 posts

Posted 03 November 2018 - 04:30 AM

So in layman's term, my airport tax to Heathrow from KLIA will be RM123.

 

On the reverse side, the Heathrow airport tax to KLIA now is £123.

 

Strange coincident.

 

Both exhibits above are assuming I am flying non-stop with MH and BA only.

 

I wonder if they realise that they are giving other ASEAN airlines (especially TG and SQ) an advantage over Malaysian carriers.

 

Good observation.



#5 flee

flee
  • Platinum Member
  • 11,076 posts

Posted 03 November 2018 - 07:54 AM

This is Malaysia's version of the UK's APD.


I wonder if they realise that they are giving other ASEAN airlines (especially TG and SQ) an advantage over Malaysian carriers.

 

Yes, but both Thai and Singapore airports already charge more than Malaysian airports - so Malaysia is catching up. But as a proportion of total airfares to and from Malaysia, the UK's taxes and APD are probably the highest.



#6 Mohd Suhaimi Fariz

Mohd Suhaimi Fariz
  • Platinum Member
  • 2,517 posts

Posted 03 November 2018 - 08:47 AM

Wonder what Tone the moan will say :)


Tone the mone will have to keep quiet, lest he find himself out of sorts with the old man and his minions.

#7 Chris Tan

Chris Tan
  • Gold Member
  • 743 posts

Posted 03 November 2018 - 05:26 PM

 

Yes, but both Thai and Singapore airports already charge more than Malaysian airports - so Malaysia is catching up. But as a proportion of total airfares to and from Malaysia, the UK's taxes and APD are probably the highest.

A traveller who flies KUL-SIN/BKK-TYO (for instance) will end up paying less airport taxes than KUL-TYO direct. Departure taxes of BKK/SIN are irrelevant if one isn't doing a stopover.



#8 flee

flee
  • Platinum Member
  • 11,076 posts

Posted 04 November 2018 - 09:44 AM

A traveller who flies KUL-SIN/BKK-TYO (for instance) will end up paying less airport taxes than KUL-TYO direct. Departure taxes of BKK/SIN are irrelevant if one isn't doing a stopover.

I think it affects airline yields more than the pax - afterall, pax only look at the bottom line fare they have to pay. Australian airports have very high taxes and fees compared to, say, Japanese airports - the airlines automatically adjust their fares to compensate for that. The UK APD also does not seem to affect their traveller numbers that much. Anyway, lets see what happens next year.



#9 jani

jani
  • Platinum Member
  • 1,537 posts

Posted 05 November 2018 - 07:22 AM

I wonder if they realise that they are giving other ASEAN airlines (especially TG and SQ) an advantage over Malaysian carriers.

 

Think Singapore also recently introduced a new tax to fund T5?



#10 Chris Tan

Chris Tan
  • Gold Member
  • 743 posts

Posted 05 November 2018 - 08:14 AM

 
Think Singapore also recently introduced a new tax to fund T5?

Not everyone gets hit equally. The levy for transit pax is S$3, whereas for departing pax its S$10.80.

#11 Kenny Sing

Kenny Sing
  • Members
  • 110 posts

Posted 05 November 2018 - 10:23 AM

i was thinking about if you could afford to purchase a ticket to fly, is RM20 or RM50 too much to pay for?



#12 leon t

leon t
  • Gold Member
  • 600 posts

Posted 05 November 2018 - 10:37 AM

During the budget announcements and report, the finance mnister said there be a exit tax for malaysians.  Didnt know if its built into the airport tax, then it be for all incl foreigners?  Some clarifications needed.  Similiarly like some countries like for example Indonesia there's a tax for indonesians leaving the airport and not foreigners.



#13 jani

jani
  • Platinum Member
  • 1,537 posts

Posted 05 November 2018 - 11:48 AM

This new levy is not the same as PSC. PSC goes to MAHB whilst if I'm not mistaken, this levy will go straight to government.



#14 flee

flee
  • Platinum Member
  • 11,076 posts

Posted 05 November 2018 - 01:27 PM

This new levy is not the same as PSC. PSC goes to MAHB whilst if I'm not mistaken, this levy will go straight to government.

Yes, it appears to be a revenue collection exercise for the govt. - similar to APD.

Think Singapore also recently introduced a new tax to fund T5?


And HKG is also collecting for third runway construction ...

#15 Craig

Craig
  • Silver Member
  • 480 posts

Posted 06 November 2018 - 12:06 AM

During the budget announcements and report, the finance mnister said there be a exit tax for malaysians.  Didnt know if its built into the airport tax, then it be for all incl foreigners?  Some clarifications needed.  Similiarly like some countries like for example Indonesia there's a tax for indonesians leaving the airport and not foreigners.

 

Pretty sure it's non-discriminatory and applies to all pax. Most pax won't notice/see the charges (unless one goes through each line of taxes). I don't think Indonesia exit tax exist anymore (at least it's included in the ticket now).

 

Some countries like Mexico charges MXP 500 (~RM100) for all tickets to Mexico (e.g., even with the same fare, a MEX-LAX RT is 500 MXP cheaper than a LAX-MEX RT). This arrival tax is refundable for all Mexican citizens/residents but they have to actively request the refund from the airline since it's included in the ticket.



#16 Mohd Suhaimi Fariz

Mohd Suhaimi Fariz
  • Platinum Member
  • 2,517 posts

Posted 06 November 2018 - 08:20 AM

i was thinking about if you could afford to purchase a ticket to fly, is RM20 or RM50 too much to pay for?

 

One can argue the same for the PSC, but yet people were making a ton of noise about it.

 

With this, you're paying PSC + tax. So it's not merely RM 20/RM 50.


Edited by Mohd Suhaimi Fariz, 06 November 2018 - 08:21 AM.


#17 Kenny Sing

Kenny Sing
  • Members
  • 110 posts

Posted 06 November 2018 - 09:19 AM

 

One can argue the same for the PSC, but yet people were making a ton of noise about it.

 

With this, you're paying PSC + tax. So it's not merely RM 20/RM50

the statement still back to the basic actually, i don't believe an additional will be enough to deter people from travelling. as simple as it is. Yeah, they make noise about it and end of the days airport still chalking up passenger growth year over year. I think such move is good in order to increase revenue for the government (so long they use it the right way)



#18 Kee Hooi Yen

Kee Hooi Yen
  • Platinum Member
  • 1,779 posts

Posted 06 November 2018 - 02:42 PM

So I believe the exit tax is only applicable for pax leaving via air, not for other transport mode such as land or sea ?

Edited by Kee Hooi Yen, 06 November 2018 - 02:43 PM.


#19 Kenny Sing

Kenny Sing
  • Members
  • 110 posts

Posted 07 November 2018 - 01:58 PM

So I believe the exit tax is only applicable for pax leaving via air, not for other transport mode such as land or sea ?

sounds like it, because it is mention about "airport exit tax". simply because it is the simplest way to collect revenue in an effective manner. small effort, huge money.






0 user(s) are reading this topic

0 members, 0 guests, 0 anonymous users