Kyoto Plans Major Increase in Hotel Tax

Kyoto, Japan, plans to significantly increase its accommodation tax from 1,000 yen to 10,000 yen per person per night for high-end lodging, aiming to address local concerns over overtourism. The new tax structure features five tiers based on accommodation prices, with the highest rates targeting luxury stays above 100,000 yen. This initiative is part of Kyoto's broader strategy to promote sustainable tourism and manage the growing influx of foreign visitors, which is expected to reach a record 35 million in 2024. The city anticipates generating about 13 billion yen in revenue, with funds earmarked for infrastructure improvements and measures to ease tourist congestion. Locals have expressed frustration over the impact of tourism on their daily lives, particularly in culturally significant areas like Gion, where incidents involving tourists have raised tensions. The revised tax ordinance is set to be submitted for approval in February, with implementation planned for March 2026.