"Are You Really Going to Japan?"... Concerns Deepen as Fees Rise Up to Tenfold

Japanese Local Governments Introduce Accommodation Tax One After Another
17 Implemented as of Last Year... 30 More to Be Added This Year
"Kyoto to Raise Tax by Up to Tenfold"

The cost burden for travelers visiting Japan is expected to rise. This is because the number of local governments imposing an accommodation tax on hotel and inn guests will increase significantly this year.

Kyoto City will raise the accommodation tax in March from the current maximum of 1,000 yen (about 9,250 won) to a maximum of 10,000 yen (about 92,500 won). Photo by Getty Images

According to the Nihon Keizai Shimbun on January 10, around 30 local governments are planning to introduce a new accommodation tax this year. The accommodation tax is a fee collected by local governments through lodging businesses based on local ordinances. As of the end of last year, only 17 local governments had implemented the accommodation tax, so this represents a near doubling. Of the 30 local governments planning to introduce the tax, 26 have already established ordinances and obtained approval from the Ministry of Internal Affairs and Communications, the central government.

The first local governments to begin collecting the new accommodation tax will be Miyagi Prefecture and Sendai City, starting on January 13. Guests staying at hotels in Sendai City will need to pay an additional accommodation tax totaling 300 yen (approximately 2,770 won): 100 yen (about 920 won) as a prefectural tax to Miyagi Prefecture and 200 yen (about 1,850 won) as a municipal tax to Sendai City.

In April, Hokkaido will introduce an accommodation tax of up to 500 yen (about 4,620 won), and 13 other municipalities under its jurisdiction, including Sapporo City, will also begin imposing the tax. Hiroshima Prefecture and Kanagawa Prefecture will introduce new accommodation taxes in the same month. In June, Nagano Prefecture and municipalities under its jurisdiction, such as Karuizawa Town, will start collecting the tax. Miyazaki City and Okinawa Prefecture are also planning to introduce the tax this year, but have not yet completed the approval process with the Ministry of Internal Affairs and Communications.

Local governments that have already introduced the accommodation tax are moving to increase the rates.

The photo is for illustrative purposes only and is not related to any specific content. Pixabay

Kyoto City will raise the accommodation tax in March from the current maximum of 1,000 yen (approximately 9,250 won) to a maximum of 10,000 yen (approximately 92,500 won). Kutchan Town in Hokkaido, known for its ski resorts, will increase its accommodation tax rate from 2% to 3% starting in April. Tokyo Metropolitan Government plans to change its current flat accommodation tax of 100-200 yen to a uniform rate of 3% starting next year, effectively raising the tax.

Separately, the Japanese government plans to triple the “International Tourist Tax” imposed on all outbound passengers from Japan (regardless of nationality) from the current 1,000 yen per person to 3,000 yen (about 27,750 won) starting in July, in response to the issue of “overtourism” caused by a surge in tourists.