Reduced PSC Rates To Help Decrease Tax Burdens

reduced psc rates to help decrease tax burdens

Travelling is a luxury, and it became even more so when the passenger service charge was implemented at RM73. 

Transport Minister Anthony Loke announced last month that the cabinet would reduce the PSC to RM50 for those travelling outside of Asean. The new prices begin today at KLIA 2 as well as other international airports in the country, with the exception of KLIA.

reduced psc rates to help decrease tax burdensPhoto: YouTube

“We fully respect the Cabinet’s decision and as per the minister’s announcement, we will proceed with charging the reduced PSC from 1 October 2019. As the airports belong to the Government, the Cabinet certainly has every power to implement changes to the PSC,” AirAsia Group President (Airlines) Bo Lingam told the New Straits Times.

The changes were made in an effort to reduce tax burdens after the new levy tax under the Departure Levy Act 2019 came into place on 2nd September.

“We would like to thank the Government and all Malaysians for supporting our cause towards a fair PSC and making air travel affordable for everyone. This will hugely benefit not only air travellers but also the tourism industry and economy as a whole,” Bo added.

The PSC rate for domestic and Asean flights at all airports remains at RM11 and RM35 respectively.

By: Celestine Foo

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