Authors : Ahmad Nazrin Aris Anuar, Nasihah Md Jalal Fahmey, Rabiatul Adawiyah Nasir and Che Bon Ahmad
Abstract: This research is conducted based on the issues of the implementation of Goods and Services Tax (GST) in Malaysia and thus, it is the concern of researcher to find out what are the effects faced by tours and travel agency sectors in the implementation of GST. Their sales on goods and services gained taxation whether from the Sales and Services Tax (SST) up until the implementation of GST. Therefore, there are two objectives: to identify the effects on eco-tourism tours and travel agencies in the implementation of GST and to evaluate the preparedness of the travel agencies in facing the GST. The research conducted through the qualitative method by semi-structured interview based on three travel agencies. The purposive sampling method was used to choose the respondents with the criteria of the travel agencies that have been registered for GST and having an eco-tourism packages. Based on analysis shows that the travel agencies has been affected by the implementation of GST on the elements of less income gain, less demand during seasons, events and their services need to include GST. The other determinants such as the effects on commission rate received and customers’ willingness to pay are not affected much to the travel agencies. On top of that, more accurate information about GST is being acknowledged by the agencies, introduced the GST system earlier so that people can understand the system and more calculation techniques should introduce to agencies to avoid any misunderstanding.
Ahmad Nazrin Aris Anuar, Nasihah Md Jalal Fahmey, Rabiatul Adawiyah Nasir and Che Bon Ahmad, 2017. The Implementation of Goods and Services Tax: The Effects to Eco-Tourism Tours and Travel Agency. International Business Management, 11: 33-40.