A Malaysian hotel bill can carry three separate charges: 8% service tax on accommodation, a 10% service charge if the property adds one, and RM10 per room per night tourism tax for foreign guests.
How it is worked out
- Service tax is 8% of the room rate.
- Service charge, if the property adds one, is 10% of the room rate.
- Tourism tax is RM10 per room per night, for foreign guests only.
A worked example
| Room rate | MYR 300.00 |
|---|---|
| Service charge 10% on 300.00 | MYR 30.00 |
| Service tax 8% on 300.00 | MYR 24.00 |
| Tourism tax, 1 room x 1 night at 10.00 | MYR 10.00 |
| Total | MYR 364.00 |
What to watch for
- Sources disagree on whether service tax also covers the service charge. Reports quoting the Customs Department say it doesn't, while others describe bills with SST on both. Ask your accountant, and tick the box in the calculator to see the other result.
- Malaysians don't pay tourism tax. Premises with fewer than 10 rooms and MOTAC-registered homestays and kampung stays are exempt.
- Food, drink and parking sold by a hotel may be at 6% service tax rather than 8%.
Doing this in Zitlin
Pick your SST tax, and add a Tourism Tax add-on charged per room per night on a 0% tax. Zitlin can't tell who is Malaysian, so for a Malaysian guest set that line's quantity to 0 with Modify.
Frequently asked questions
Who pays Malaysia's RM10 tourism tax?
Foreign guests, at RM10 per room per night, collected by the hotel at check-out. Malaysians are exempt, as are premises with fewer than 10 rooms and MOTAC-registered homestays.
Does SST apply to the service charge?
Sources disagree. Reports quoting the Customs Department say service tax isn't imposed on the service charge, while others describe bills with SST on both. Ask your accountant. Zitlin handles either with one tick on the tax.
Sources
- The Edge: Malaysians exempted, foreigners pay RM10
- The Rakyat Post: service charge in Malaysia
- Softinn: Malaysia hotel tax
Checked November 2026. This is a guide rather than tax advice, and rates change. Confirm yours with the Royal Malaysian Customs Department or your accountant.