Host Compliance in Malaysia
Stay up-to-date and compliant with Malaysia’s evolving short-term rental regulations.
Regulations & Permissions
Short-term rental (STR) regulations in Malaysia are evolving. Hosts must comply with both national and local requirements, including licensing, safety, and guest registration.
- Obtain all necessary licenses and permissions before listing your property.
- Check for restrictions from your building’s Joint Management Body (JMB) or Management Corporation (MC).
- Stay updated on new national guidelines from the Ministry of Housing and Local Government (KPKT).
National Guidelines (Upcoming)
The Ministry of Housing and Local Government (KPKT) is preparing a national framework for short-term rentals, expected by end of 2025. This will standardize requirements across Malaysia.
- National registration and licensing for STR hosts.
- Minimum safety and insurance requirements.
- Unified guest registration and reporting standards.
Stay tuned for updates as the guidelines are released.
State & Local Regulations
Regulations vary by state and city. Select your location to view specific requirements:
Kuala Lumpur
- DBKL e-licensing required for all STRs.
- Strata buildings: STRs may be prohibited by JMB/MC.
- Guest registration and reporting mandatory.
DBKL e-Licensing Portal →
Penang
- STRs banned in residential strata buildings.
- Allowed in landed properties with local council approval.
MBPP Website →
Johor
- Local council approval required.
- Check with JMB/MC for strata restrictions.
MBJB Website →
For other states/cities, please consult your local council or contact us for guidance.
Strata Rules
If your property is in a strata building (condominium, apartment), the JMB or MC may prohibit or restrict short-term rentals. Always check your building’s house rules and obtain written permission if required.
- Some buildings ban STRs entirely.
- Others may allow with conditions (e.g., guest registration, security deposit).
- Violating strata rules can result in fines or legal action.
Taxes
Income Tax
All income from hosting must be declared to the Inland Revenue Board (LHDN). Keep accurate records of your earnings and expenses.
LHDN Official Website →
Service Tax
If your annual STR income exceeds RM500,000, you must register for service tax with the Royal Malaysia Customs Department.
Customs Department →
Health & Safety Checklist
- Install smoke detectors, carbon monoxide alarms, and fire extinguishers.
- Provide a clearly marked fire escape route and map.
- Display emergency contact numbers for guests.
- Clean and disinfect the property thoroughly between guests.
Guest Management
- Set clear house rules (parties, noise, pets, parking, etc.).
- Maintain a register of all guests, including passport details for foreign visitors.
- Respect guest privacy—disclose any security devices (e.g., cameras in common areas).
Insurance
- Airbnb and similar platforms offer Host Guarantee and Host Protection Insurance—review their terms.
- Consider additional homeowners or renters insurance for extra protection.
CMS Capabilities
- Automated alerts for new regulations.
- Version control for compliance documents.
- Search and filter by location.
- Reporting on document access/acknowledgement.
- PMS integration for compliance data forwarding.
Frequently Asked Questions
Do I need a license to host short-term rentals in Malaysia?
Yes, most local councils require a license or registration. Check your local council’s website for details.
Are short-term rentals allowed in condominiums?
Many strata buildings prohibit STRs. Always check with your JMB or MC before listing.
How do I declare my hosting income?
Declare all STR income in your annual tax return to LHDN. Keep records of your earnings and expenses.
What insurance do I need as a host?
Review platform-provided insurance and consider additional homeowners or renters insurance for full coverage.
