The International Air Transport Association has asked the government to reconsider the implementation of the Departure Levy Bill 2019 that wasIATA regional vice-president for Asia-Pacific Conrad Clifford said the air passenger departure levy has the potential to do more harm than good to the local economy as it will dampen the demand for travel.
He said the implementation of the departure levy also contradicts the existing policies on taxation published by the International Civil Aviation Organisation . It was reported that the departure levy will be enforced on June 1, and will be RM20 per passenger for those departing to Asean countries, and RM40 for other countries.
In 2017, the Malaysian aviation sector employed 450,000 people and contributed US$10.1 billion to the country’s GDP.
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