KOTA KINABALU, June 8 ― The Sabah government said today it will be studying the proposed new tourism tax before deciding on whether it would implement it or oppose it.

State tourism, culture and environment minister Datuk Masidi Manjun, who has previously been against the new tax, said that it was only proper that they understand the new tax bill before making a stand.

"We will discuss it at the Cabinet meeting and study the law and its implication before making a statement,” he said.

When asked whether the state was considering opting out of the law, he said they will study the bill to see whether it was a possibility.

We need to study it to know the mechanism, the collection and the disbursement thereafter.

"However, we are sure there are lots of areas where we can talk to the federal government,” he said.

He was speaking to reporters after a breaking of fast function hosted by his ministry.

The new tax, to come into force on August 1, will see both domestic and international travellers plying most types of accommodation except homestays, paying an additional levy.

The tax will be in addition to the goods and services tax (GST) and service charge.

The rates are RM20 per room per night in five-star premises; RM10 for four-star and RM5 for three to two stars. Those rated by Malaysia as "orchid” for budget accommodations and non-rated premises will be taxed RM2.50.

Previously, Masidi said that the state’s tourism industry was one of the state’s biggest source of revenues and "to impose that fee now could mean killing the goose that lays the golden egg.”

The Malaysian Association of Tour and Travel Agents (Matta) have also said the tax was an unnecessary burden and urged the government to delay the Tourism Tax on domestic tourists.