Kyoto hikes tourist tax by 900%, here's travelers should know

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Kyoto, Japan, is increasing its tourist tax by up to 900% to combat overtourism.The tax hike aims to manage the strain on city infrastructure caused by a record number of visitors.The new tax, effective March 1, is based on nightly hotel rates and will be highest for more expensive accommodations.

Travelers wanting to see the ancient temples and shrines in Kyoto will soon need to increase their budget as the historic city announced a 900% hike on its tourist tax earlier this month. This will mark Japan’s highest tourist tax.

Known for its rich cultural heritage, Kyoto has been struggling with overtourism. Last year, a record 10.88 million foreign visitors descended upon the city. The high influx of visitors has strained the city’s infrastructure and quality of living for residents, from closing streets in its famous geisha district due to poorly behaved tourists to trash cans overflowing with garbage.

“The increased tax revenue resulting from the review will be used to ‘promote tourism that makes use of its diverse and profound charms’ and ‘further promote harmony and compatibility between civic life and tourism,'” the city announced on Oct. 3 on its official website.

Going into effect on March 1, the increase will apply to the city’s accommodation fee – a per-night tax calculated based on the daily rate of your hotel, according to the website. The Minister of Internal Affairs and Communications initially proposed the increased tax, and the city council passed it in February.

Those staying in more expensive accommodations will be charged a higher tax. Hotels with nightly rates at 100,000 yen (about $665) or more will face the biggest tax increase from $6.65 to $66.55 per night added to their final bill at checkout.

For stays under 6,000 yen (about $39.92) per night, the new tax will remain unchanged at 200 yen (about $1.33).For hotels between 20,000 and 50,000 yen (about $133 to $332), the current tax of 500 yen (about $3.33) will rise 100% to 1,000 yen (about $6.65).For hotel rates between 50,000 and 100,000 yen (about $332 and $665), the 1,000 yen (about $6.65) tax will go up to 4,000 yen ($26.61) – a 300% increase.Hotels that cost 100,000 yen (about $665) will have their current 1,000 yen (about $6.65) tax skyrocket 900% to 10,000 yen per night (about $66.55).

The move makes Kyoto the latest destination to implement a tourist tax as a way to curb overtourism, with Greece, New Zealand, Bali, Amsterdam and Venice all introducing some sort of similar fee within the last several years.

Earlier this year, fellow Japanese destination Mount Fuji passed a bill that would set an entrance fee and time slots that would have to be booked in advance, as the sacred mountain has dealt with unsafe climbers and littering.