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2021 -05 -10 [Back]
Tourism tax is waived to bolster travel trade towards recovery

To put into practice the “2021 Scheme for Employment Security, Economic Stabilization and Care for Residents’ Livelihood”, the Macao Special Administrative Region Government is launching measures to reduce/exempt a range of taxes and extend the coverage of tourism tax exemption, which is expected to benefit over 370 tourism service establishments and involve about 379 million patacas in the budget. The measure aims to revive the economy and propel Macao’s travel trade towards revitalization.

 

Tax waiver for more tourism establishments

Amid Macao’s transition towards economic recovery, the SAR Government is offering considerable support to the travel trade to ease their burdens. Besides the categories of establishments listed for tax incentive in the Budget Proposal for the Fiscal Year 2021, the coverage of tourism tax exemption will be expanded to include tourism service establishments such as hotels, night clubs, bars, saunas, health clubs, massage parlours, karaoke lounges and so forth.

 

According to the provisions of the articles on tourism tax exemption in the Budget Proposal for the Fiscal Year 2021, as amended by Law No. 3/2021, the establishments concerned will be exempt from the tourism tax levied at 5% on their services provided, effective from 11 May 2021 until 31 December 2021.

 

If tourism service establishments levy tourism tax on consumers unlawfully within the period of tax exemption, upon discovery, it is mandatory for the establishments to be taxed in accord and be subject to fine. Furthermore, unlicensed establishments and those which unlawfully include tax on invoices or equivalent documents will not be exempt from tourism tax.

 

While Macao is the midst of transition towards economic recovery, the SAR Government is offering considerable support to the travel trade to ease their burdens. With the steady rise in visitor arrivals this year, MGTO is dedicated to the supervision of licensed establishments. The travel trade is obliged to comply with the regulations on tourism service establishments and rigorously follow the pandemic prevention measures issued by the SAR Government, joining hands to safeguard Macao’s image as a healthy and quality destination.

Updated on: 10/05/2021