The Government of Penang suggested to the federal government that the limit for RM1000 be adjusted for tax relief for domestic tourism expenses.

Yeoh Soon Hin, Chairman of the State Committee for Tourism, Arts, Culture, and Heritage, said that a letter of the proposal had been written to the MOTAC.

"Domestic tourism is the pillar of the tourism industry until the international borders reopen. The incentive will provide motivation for people to travel domestically in the long run even when the international borders reopen," he said in a statement.

He said that encouraging domestic travel in every state including Penang could reactivate and promote tourism.

"This could serve to ensure recovery could be accelerated which not only supports local businesses but also protects jobs," he added.