Selangor’s Proposal to Reclassify Indoor Playgrounds as ‘Edu-entertainment’ to Lower Duty

Selangor: The Selangor state government is considering a proposal to reclassify indoor children's playgrounds under the 'edu-entertainment' category to potentially reduce the entertainment duty currently imposed on these venues.

According to BERNAMA News Agency, State Tourism and Local Government Committee chairman Datuk Ng Suee Lim announced that the proposal arose after operators voiced concerns over the annual entertainment duty, which can reach up to RM6,390, despite the educational components included in their activities. Ng highlighted that numerous discussions have already taken place on this issue. Since the current classification falls under the Entertainment and Places of Entertainment Enactment 1995, a comprehensive review is necessary.

Ng further explained the possibility of introducing a new duty category, 'edu-entertainment', to navigate and potentially lower the constraints of the current enactment. He mentioned ongoing plans to engage with Penang state, which has successfully implemented the 'edu-entertainment' classification without amending its existing enactment.

Ng noted that should amendments be necessary, the process would be lengthy and involve several stages. Previously, the Malaysian Association of Theme Parks and Family Attractions (MATFA) had urged a review of the entertainment licence classification for children's playgrounds, warning that fees could rise nearly 13-fold, significantly impacting operators who offer affordable recreational spaces for families, especially those belonging to the B40 and M40 income groups.