Will increased taxes deter patronage of casinos and nightclubs?

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Increased Taxes Could Deter Patronage of Casinos and Nightclubs

Datuk Ahmad Maslan, a federal lawmaker from Barisan Nasional, has proposed a significant increase in taxes on businesses such as casinos and nightclubs. He suggested raising the service tax on casinos, lotteries, and gambling dens to 20 per cent, and imposing a 20 to 30 per cent service tax on nightclubs. Ahmad Maslan believes that these higher taxes would discourage people from frequenting such establishments, effectively reducing patronage.
Proposed Tax Adjustments

The current service tax on casinos, lotteries, and gambling dens stands at 6 per cent. Ahmad Maslan, the Member of Parliament for Pontian, questioned why this rate had not been increased, advocating for a substantial hike. His specific proposal for casinos and gambling establishments is a 20 per cent tax, which he explicitly stated is intended to deter customers.
Impact on Nightclubs

In addition to gambling establishments, Ahmad Maslan also targeted nightclubs with his tax increase proposal. He recommended a service tax ranging from 20 to 30 per cent for these venues. This suggests a broader view that businesses deemed "useless" should face higher taxation to potentially curb their operations and appeal.
Political Support for the Proposal

When questioned about whether his suggestion represented a party stance, Ahmad Maslan expressed confidence in the backing of his colleagues. He indicated his belief that fellow lawmakers would agree with the necessity of increasing taxes on these specific types of businesses. This suggests a potential alignment within his political party regarding this fiscal measure.

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Will increased taxes deter patronage of casinos and nightclubs?

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