From RM500 to over RM6,000? Association warns of 13-fold fee hike if Selangor reclassifies kids’ playlands

KUALA LUMPUR, June 21 — The Malaysian Association of Theme Parks and Family Attractions (Matfa) has urged the Selangor state government to review its proposal to reclassify children’s playlands under the entertainment licensing category, saying the move would increase annual licence fees nearly 13-fold.

Its president Tan Sri Richard Koh said the proposed reclassification would raise annual fees from RM500 to RM6,390, adding financial pressure on operators of children’s play facilities that cater to families, particularly those from the B40 and M40 income groups.

“We appeal to the state government to reconsider plans to reclassify children’s playlands under the entertainment licensing category, which would result in a spike in annual fees from RM500 to RM6,390,” he said in a statement today.

Koh said children’s playlands are important community spaces that provide families with safe environments for play, exercise and family bonding.

He said Matfa had proposed that such facilities remain under the recreational licensing category, with fee exemptions considered for facilities serving lower-income communities.

While welcoming the Selangor government’s RM209.26 million Phase Two Endurance Strengthening Package to help businesses weather economic uncertainties, Matfa urged the state not to overlook the family attractions industry, which it said had also been affected by the economic slowdown.

The association also renewed its call for the federal government to abolish the Entertainment Duty Act 1953, describing it as an outdated law that places an additional burden on families seeking affordable leisure activities.

“The Entertainment Duty Act imposes a tax of up to 25 per cent on every theme park, water park and family attraction ticket. This tax is not paid by operators, it is borne by the rakyat.

“During this challenging time, it is wrong to tax families. Thailand, Singapore and Hong Kong do not impose such taxes. Malaysian families are now travelling to Hat Yai because it is more affordable there,” he said.

Koh said the government should also introduce tax incentives for operators that provide recreational activities for B40 and M40 families, as such facilities offer important public spaces for relaxation and social interaction.

Matfa reaffirmed its commitment to working with the state government and local authorities to develop a regulatory framework that supports industry sustainability while strengthening Selangor’s position as a leading destination for family recreation and tourism. — Bernama