MyBHA Welcomes Tourism-Focused Budget Measures
The Malaysia Budget & Business Hotel Association (MyBHA®) has expressed strong support for the Government’s Budget 2026 initiatives, which prioritise the growth and revitalisation of Malaysia’s tourism and hospitality sectors ahead of Visit Malaysia Year 2026 (VMY2026).
The association particularly welcomes the new tax incentive for tourism project operators undertaking renovations, upgrades, and improvements to their premises. The measure allows tax deductions of up to RM500,000 on qualifying expenditures. According to MyBHA, this timely initiative will help hotel and resort operators enhance property quality, safety, and guest experience – ensuring Malaysia remains a top hospitality destination for both domestic and international visitors.
Boosting Domestic Tourism and Responsible Travel
MyBHA also praised the personal income tax relief of up to RM1,000 for Malaysians who spend on local attractions and cultural programmes. The association said the initiative will encourage citizens to explore Malaysia and help boost domestic tourism spending.
However, MyBHA urged the government to extend this RM1,000 tax relief to include accommodation expenses at licensed hotels and resorts. Doing so would, it argued, further strengthen responsible travel and directly benefit legitimate tourism operators.
Recognising licensed accommodation in this incentive would reward businesses that comply with safety and quality standards while promoting fair and sustainable tourism.
Cracking Down on Illegal and Unregulated Operators
At the same time, MyBHA called for firm enforcement action against illegal and unregulated accommodation providers. The association said such operators distort fair competition and deprive the government of potential revenue through unpaid tourism and service taxes.
Licensed hotels shoulder the burden of compliance and taxation, yet illegal operators continue to benefit unfairly. Stronger enforcement is crucial to protect legitimate businesses and preserve the integrity of Malaysia’s tourism ecosystem.
Supporting Sustainable Tourism and Industry Regulation
MyBHA reaffirmed its full support for the Ministry of Tourism, Arts and Culture (MOTAC), Tourism Malaysia, and state tourism agencies in promoting the country’s tourism sector. It also welcomed the upcoming implementation of regulations on Short-Term Rental Accommodation (STRA), the revised Tourism Industry Act, and the control of Online Travel Agencies (OTAs).
These policies, the association said, are essential for consumer protection, industry sustainability, and fair competition – key priorities as Malaysia prepares to welcome millions of visitors in 2026.
A Shared Vision for Visit Malaysia Year 2026
MyBHA reaffirmed its commitment to work closely with the government and industry stakeholders to ensure the success of Visit Malaysia Year 2026. The association said its members will continue to raise hospitality standards and strengthen Malaysia’s reputation as a safe, responsible, and competitive global tourism destination.