Selangor Short-Term Rental Laws & Hotel Tax (2026)

State licence required

Yes

Latest rule change

April 2026

The laws in brief

Who needs it

Anyone who runs premises where people stay for rent, which the councils' hotel by-laws define to include lodging houses and guest houses. The state said in July 2025 that councils run no mandatory registration scheme aimed at Airbnb hosts, so how far each council enforces the licence varies; a unit let to a tenant under a tenancy is outside the Subang Jaya definition.^3,8,13

Issued by

The local council (PBT) for the area, such as Petaling Jaya City Council (MBPJ) or Subang Jaya City Council (MBSJ)

Valid for

Up to three years under Subang Jaya's by-law, then renewal; in Petaling Jaya the planning approval for service apartments and limited-commercial units runs year to year.

On listings

The number must appear on every listing

Platform checks

Petaling Jaya's guideline requires the business licence number on the booking platform and allows advertising only on platforms licensed by MOTAC; the state held no official register of Airbnb units in July 2025.

Fees

Who qualifies

• Petaling Jaya: the applicant must be a business or company registered with SSM, not an individual owner, operator or agent.
• Petaling Jaya: the unit must be zoned limited commercial or commercial, or be a service apartment, SOHO, SOVO or SOFO unit; low-cost, PPR, PR1MA, Rumah SelangorKu and affordable housing are excluded.
• Planning permission for the change of use, written fire safety confirmation from the Fire and Rescue Department and, where the title is residential, a change of land condition are needed first.
• Units in a strata building also need the joint management body or management corporation to allow short-term letting.

How to apply

1. 1 Ask the council's licensing department whether the unit's zone and title allow lodging-house use; in Petaling Jaya register a company with SSM first.
2. 2 Obtain planning permission for the change of use, written fire safety confirmation from the Fire and Rescue Department and, in a limited-commercial zone, apply to the district land office for a change of land condition.
3. 3 Apply in writing on the council's form with the processing fee, then register the licensed premises with MOTAC.

Permit rules

No Airbnb-specific law in Selangor

In April 2026 the state told its assembly that no law specific to short-term rentals such as Airbnb is enforced across Selangor. Until national guidelines are settled, planning permission, council by-laws and the Strata Management Act 2013 apply.⁷

Councils license lodging houses under their hotel by-laws

Council hotel by-laws bar anyone from running a hotel without a licence from the council, and Petaling Jaya licenses short-term rentals as a 'rumah penginapan' (lodging house) under its Hotel By-Laws 2007.^3,13 Applies to: Subang Jaya; Petaling Jaya

Register under the state tourism programme for a trade licence

In July 2024 the state said that tourism premises, including homestays and Airbnb units, should register under the Selangor Tourism Refinement Programme (P3S) to obtain a trade licence (Lesen Tred Perniagaan) from the council; the programme's guidelines were under review.¹⁰ In force since July 2024

No mandatory registration scheme for Airbnb hosts

In July 2025 the state said councils run no specific licensing requirement or mandatory registration for short-term rental operators, so it holds no official count of Airbnb units by area.⁸ In force since July 2025

Show the licence number on the listing

Hosts show the business licence number on the booking platform or website and may advertise only on platforms licensed by the Tourism, Arts and Culture Ministry (MOTAC); the guideline treats the licence as cancelled if the number is missing.¹³ Applies to: Petaling Jaya · In force since January 1, 2020

Airbnb collects the tourism tax

For bookings made from 1 January 2023, Airbnb collects and remits the tourism tax on Malaysian listings, so hosts do not collect it again.¹⁵ In force since January 1, 2023

The state does not block short stays in principle

Selangor does not stop short-term rentals that leave residents and building safety unharmed and follow land-use conditions and by-laws, and each council may add conditions or bans by location.⁸

A hotel includes a lodging house or guest house

In Subang Jaya's by-law a hotel covers any premises where people stay for rent, including a motel, boarding house (rumah tumpangan), lodging house (rumah penginapan) and guest house (rumah tetamu).³ Applies to: Subang Jaya

Petaling Jaya licenses companies, not individuals

Petaling Jaya's guideline does not accept licence applications from an individual owner, operator or agent; the applicant must be a business or company registered with the Companies Commission of Malaysia (SSM).¹³ Applies to: Petaling Jaya · In force since January 1, 2020

Only commercial-type units in Petaling Jaya

Petaling Jaya's guideline allows lodging-house use in units zoned limited commercial or commercial under the Local Plan, service apartments, SOHO units and boutique-office units (SOVO, SOFO), and excludes low-cost, PPR, PR1MA, Rumah SelangorKu and affordable housing.¹³ Applies to: Petaling Jaya · In force since January 1, 2020

Planning permission for the change of use

In Petaling Jaya the owner needs planning permission from the Development Planning Department for a material change of use from home to lodging house. For service apartments and limited-commercial units it is granted year by year and renewed every year.¹³ Applies to: Petaling Jaya · In force since January 1, 2020

Change of land condition and commercial land tax

Where a home sits in a limited-commercial zone, the owner applies to the Petaling land office to change the land condition from residential to business, pays a premium, and then pays business land tax.¹³ Applies to: Petaling Jaya · In force since January 1, 2020

Condominium owners can ban short stays

In a strata building, whether short-term rental is allowed depends on the annual general meeting of the joint management body (JMB) or management corporation (MC) under section 70 of the Strata Management Act 2013, which lets owners ban or limit it.⁸

Land-use condition of the title

Hosting in a residential building may need the State Land Office to change the condition for use of the building from residential to commercial.¹⁶

Leases and community rules

Leases, contracts, building regulations and condominium rules can bar subletting or hosting, so a landlord's or building manager's rules apply on top of council rules.¹⁶

1. 1. Petaling Jaya

   Selangor

   Petaling Jaya City Council's guideline, in force since 1 January 2020, licenses short-term rentals as a 'rumah penginapan' under its Hotel By-Laws 2007. Only companies registered with SSM can apply, and only for commercial-type units such as service apartments, SOHO units and units zoned limited commercial.¹³

   • Licensed as a 'rumah penginapan' under the Hotel By-Laws 2007; applicant must be an SSM-registered company.
   • Limited-commercial and commercial-zoned units, service apartments, SOHO, SOVO and SOFO only; low-cost, PPR, PR1MA and Rumah SelangorKu excluded.
   • Planning permission, a land-condition change where needed, and a Fire and Rescue Department certificate first.
   • Two adults per bedroom; small events end by 11 pm; licence number shown on the listing.

2. 2. Subang Jaya

   Selangor

   Subang Jaya City Council's Hotel By-Laws define a hotel to include a lodging house or guest house and bar anyone from running one without a licence. A 20-room-or-fewer licence costs RM500 a year, and the by-law carries a fine up to RM2,000 or one year in prison.³

   • Hotel licence needed for any lodging house, guest house or boarding house; tenancies are excluded.
   • RM5 form, RM50 processing and RM500 a year for 20 rooms or fewer; licence valid up to three years.
   • Deposit of up to RM10,000 may be required.
   • Fine up to RM2,000 or one year in prison; compound up to RM1,000.

3. 3. Selayang Municipal Council

   Selangor

   Selayang Municipal Council's Licensing Department briefed hotel, guest-house, village-stay and other licensed tourist-accommodation operators on the state sustainability fee in 2026. The fee applies to licensed premises, and the council collected RM2,290 in January, RM17,720 in February and RM12,750 in March 2026.^7,12,14

   • Sustainability fee from 1 January 2026 on guests of licensed tourist accommodation, local and international.
   • Fee is charged at check-in, per room per night, by category of premises.
   • No Airbnb-specific licence; the state framework of planning permission, council by-laws and strata by-laws applies.

4. 4. Shah Alam

   Selangor

   Shah Alam City Council (MBSA) works under the state framework: no Airbnb-specific law, with planning permission, council by-laws and strata by-laws deciding. It collected RM353,201 in January, RM279,489 in February and RM154,705 in March 2026 in the state sustainability fee from licensed accommodation.^7,8,12

   • No Airbnb-specific licence; the state said in April 2026 that existing planning and by-law rules apply.
   • Licensed tourist accommodation collects the RM2 to RM7 sustainability fee for the council.
   • Strata buildings decide short-term letting at their annual general meeting.

5. 5. Sepang

   Selangor

   Sepang Municipal Council works under the state framework: no Airbnb-specific law, with planning permission, council by-laws and strata by-laws deciding. It collected RM586,627 in January, RM303,906 in February and RM402,861 in March 2026 in the state sustainability fee, the highest of the municipal councils.^7,8,12

   • No Airbnb-specific licence; the state said in April 2026 that existing planning and by-law rules apply.
   • Licensed tourist accommodation collects the RM2 to RM7 sustainability fee for the council.
   • Strata buildings decide short-term letting at their annual general meeting.

6. 6. Kajang Municipal Council

   Selangor

   Kajang Municipal Council (MPKj) works under the state framework: no Airbnb-specific law, with planning permission, council by-laws and strata by-laws deciding. It collected RM50,119 in January, RM57,039 in February and RM119,732 in March 2026 in the state sustainability fee from licensed accommodation.^7,8,12

   • No Airbnb-specific licence; the state said in April 2026 that existing planning and by-law rules apply.
   • Licensed tourist accommodation collects the RM2 to RM7 sustainability fee for the council.
   • Strata buildings decide short-term letting at their annual general meeting.

What the host still handles

• Tourism tax with Royal Malaysian Customs (MyTTx) if the operator has five or more rooms; four rooms or fewer and MOTAC-registered homestays are exempt from registering.
• Service tax with Royal Malaysian Customs (MySST) once taxable services exceed RM500,000 in 12 months.
• The council's hotel (lodging house) licence, and in Petaling Jaya an SSM company registration, planning permission and MOTAC registration.
• Once licensed, collect the sustainability fee and deposit it with the council each month with the collection and room-use reports (the state says by the 10th day of the next month).
• A guest register under the Registration of Guests Act 1965.^1,3,11,15

No night cap in force

A cap of 180 nights a year, announced by the state in November 2025, is not law: in January 2026 the state was still studying it, and in April 2026 it said no specific rental law is enforced statewide.^7,18

Fire and Rescue Department certificate first

Petaling Jaya applicants obtain written confirmation of premises safety from the Fire and Rescue Department before applying for the business licence, and must keep extinguishers, smoke detection, lit and unobstructed exits and exit signs in working order.¹³ Applies to: Petaling Jaya · In force since January 1, 2020

Two adults per bedroom

The guideline allows two adults per bedroom (two children aged 11 or under count as one adult) and requires a sticker outside each bedroom showing the number allowed.¹³ Applies to: Petaling Jaya · In force since January 1, 2020

No parties; small events end by 11 pm

Parties and karaoke are not allowed. A small family event such as a birthday must end before 11 pm, and a sign outside gives the name and phone number of the person responsible for complaints.¹³ Applies to: Petaling Jaya · In force since January 1, 2020

Insurance or takaful for premises and guests

Licensed operators in Petaling Jaya take out an insurance or takaful policy covering the premises, staff and guests, and install CCTV outside the entrance and a safe for guests' valuables.¹³ Applies to: Petaling Jaya · In force since January 1, 2020

Selangor sustainability fee since 1 January 2026

From 1 January 2026 licensed tourist accommodation in Selangor collects a sustainability fee of RM2 to RM7 per room per night, set by an amendment to the councils' hotel by-laws gazetted on 29 December 2025. Airbnb does not collect it.^3,11,14 Applies to: licensed accommodation · In force since January 1, 2026

Tourism tax registration for operators

Operators with five or more rooms register for tourism tax with Customs; homestay operators registered with MOTAC and operators with four rooms or fewer are exempt from registering, yet platforms still charge the tax on every booking.⁴

Service tax above RM500,000

Accommodation, including homestays, is a taxable service, and a host registers for service tax once taxable income reaches RM500,000 in 12 months.^5,16

Registration of Guests Act 1965

Premises used for lodging must keep a register of guests, and Airbnb's Malaysia guide notes that the Act may reach short-term rental hosts; failing to keep it is punishable by up to one year in prison, a fine up to RM2,000, or both.¹⁶

• Using a building without planning permission for a change of use: a fine up to RM500,000, up to two years in prison, or both, under section 26(1) of the Town and Country Planning Act 1976 as set out in Petaling Jaya's guideline.¹³
• Running a hotel, including a lodging house, without a licence under Subang Jaya's Hotel By-Laws: a fine up to RM2,000, up to one year in prison, or both, and up to RM200 for each further day.³
• Using a building for another purpose without the council's written permission (Street, Drainage and Building Act 1974, section 70(12)): a fine up to RM25,000 and up to RM500 a day after a notice; Petaling Jaya may compound the offence for up to RM12,500.¹³
• A council may offer to compound a hotel by-law offence for up to RM1,000.³
• Paying the sustainability fee late: a late charge of RM100 for the first delay and RM50 for each following month.¹¹
• Failing to register for tourism tax as an operator with five or more rooms: a fine up to RM30,000, up to one year in prison, or both.²
• Failing to keep a guest register under the Registration of Guests Act 1965: up to one year in prison, a fine up to RM2,000, or both.¹⁶

1. October 6, 2026 Not in force
   National planning guidelines in final review

   The Housing and Local Government Minister said the short-term rental planning guidelines were in final review with MOTAC before the National Council for Local Government, then adoption by states and local authorities; no start date was given.¹⁷

2. April 2026
   State says no Airbnb-specific law is enforced

   The state told its assembly that no specific short-term rental law is enforced statewide and that national guidelines from the Housing and Local Government Ministry are being finalised.⁷

3. January 9, 2026 Not in force
   180-night cap still under study

   The state had not finalised the 180-night cap and gave no date for finalising it.¹⁸

4. January 1, 2026
   Selangor sustainability fee begins

   After the councils' hotel by-laws were amended (Selangor P.U. 45, 29 December 2025), licensed tourist accommodation collects a sustainability fee of RM2 to RM7 per room per night.^3,11

5. December 15, 2025
   Tourism Tax (Rate of Tax) Order 2025

   The order fixes the tourism tax at RM10 per night for each room, for direct and platform bookings.¹

6. November 2025
   State announces plan for a 180-night yearly cap

   The state's local government and tourism committee chairman announced that short-term rentals would be limited to 180 nights a year from January 2026, with a planning permit needed to operate beyond that.¹⁹

7. January 1, 2023
   Airbnb collects tourism tax

   From bookings made on or after 1 January 2023 Airbnb collects and remits the RM10 tourism tax, and hosts stop collecting it.¹⁵

8. January 1, 2020
   Petaling Jaya lodging-house guideline in force

   Petaling Jaya's guideline for commercial accommodation in residential buildings, approved by the full council on 27 November 2019, took effect on 1 January 2020 and sets licensing under the council's Hotel By-Laws.¹³

Estimate what a home could earn

1. 1. Tourism Tax (Rate of Tax) Order 2025, P.U. (A) 423 · Attorney General's Chambers, via Royal Malaysian Customs Department (MyTTx)
2. 2. Tourism Tax Act 2017 (Act 791) · Laws of Malaysia, via Royal Malaysian Customs Department (MyTTx)
3. 3. Undang-Undang Kecil Hotel (Majlis Perbandaran Subang Jaya) 2013, reprint with amendments to 31 December 2025 (Selangor P.U. 45 of 29 December 2025) · Subang Jaya City Council (MBSJ), Legal Department
4. 4. Guide on Tourism Tax (Digital Platform Service Provider), as at 11 March 2025 · Royal Malaysian Customs Department
5. 5. Registering Business (service tax taxable services) · Royal Malaysian Customs Department (MySST)
6. 6. Service tax background and rates · Royal Malaysian Customs Department (MySST)
7. 7. Written question 341: Isu Airbnb, Selangor State Assembly, first meeting of the fourth term, 20 April to 4 May 2026 · Dewan Negeri Selangor (Selangor State Legislative Assembly)
8. 8. Oral question 325: Airbnb, Selangor State Assembly, July 2025 meeting · Dewan Negeri Selangor (Selangor State Legislative Assembly)
9. 9. Oral question 267: Garis Panduan Penginapan Jangka Masa Pendek (STRA), Selangor State Assembly, July 2025 meeting · Dewan Negeri Selangor (Selangor State Legislative Assembly)
10. 10. Written question 95: Airbnb, Selangor State Assembly, July 2024 meeting · Dewan Negeri Selangor (Selangor State Legislative Assembly)
11. 11. Oral question 301: Fi Kelestarian Pelancongan Negeri Selangor, Selangor State Assembly, 20 April to 4 May 2026 · Dewan Negeri Selangor (Selangor State Legislative Assembly)
12. 12. Sustainability fee collected by each local authority, January to March 2026 (annex to question 301) · Dewan Negeri Selangor (Selangor State Legislative Assembly)
13. 13. Garis Panduan bagi Menjalankan Aktiviti Penginapan Komersil di Bangunan Kediaman (Rumah Penginapan) di Petaling Jaya · Petaling Jaya City Council (MBPJ)
14. 14. Sesi Taklimat Pelaksanaan Fi Kelestarian Negeri Selangor anjuran MPS · Selayang Municipal Council (MPS)
15. 15. Occupancy tax collection and remittance by Airbnb in Malaysia · Airbnb Help Center
16. 16. Responsible hosting in Malaysia · Airbnb Help Center
17. 17. Short-term rental guidelines at final review stage, Minister · Media Selangor, 6 October 2026
18. 18. Cap on short-term rental stays still under review in S'gor · The Star, 9 January 2026
19. 19. Selangor Govt to Only Allow Airbnb Accommodations to Operate for 6 Months Annually Starting 2026 · World of Buzz, 23 November 2025