Planning a trip to Japan? You may need to factor in a higher cost for your return journey, as the Japanese government is considering raising its International Tourist Tax from the current ¥1,000 (approximately RM29) to as much as ¥5,000 (around RM148).
Addressing Overtourism Through Higher Departure Tax
Japan has long been a favourite destination for tourists worldwide, with its unique blend of modern innovation and deep-rooted traditions. However, the recent surge in tourism has put a strain on the country’s infrastructure, particularly in major cities and heritage sites. In 2024 alone, Japan welcomed a record-breaking 36.87 million foreign visitors, while only 13.01 million Japanese citizens travelled abroad. With numbers projected to rise, the government is looking for ways to manage the influx without compromising the quality of experience for both tourists and locals.
The International Tourist Tax, also referred to as the "departure tax," applies to all travellers leaving Japan by air or sea, including both foreign visitors and Japanese citizens. Introduced in 2019, this fee is automatically included in airline tickets and cruise fares, ensuring a seamless collection process.
How Will the Increased Tax Revenue Be Used?
Discussions are currently underway within Japan’s ruling parties regarding the potential tax hike, with proposals suggesting an increase to either ¥3,000 (~RM88.99) or ¥5,000 (~RM148.31). If implemented, the additional revenue generated from this increase will be allocated towards:
- Expanding Transportation Infrastructure: Upgrading airports, expanding railway networks, and improving public transport to ease congestion and accommodate the growing number of visitors.
- Managing Overtourism: Implementing measures to ensure tourist hotspots remain enjoyable and accessible while preventing overcrowding in popular areas.
- Enhancing Sustainable Tourism Initiatives: Supporting projects that balance economic benefits with environmental and cultural preservation efforts.
- Preserving Cultural Heritage: Strengthening conservation efforts at historic sites and improving crowd control strategies in high-traffic areas.
While the increase is still in the discussion phase, details will be finalised in an upcoming tax reform plan.
A Global Trend Towards Higher Departure Taxes
Japan is not alone in adjusting departure taxes to address tourism-related challenges. Countries such as Egypt and Australia have implemented significantly higher levies, with departure taxes set at approximately ¥3,750 (~RM111.23) and ¥7,000 (~RM207.64), respectively. This global trend highlights the increasing need for governments to regulate tourism in a way that ensures long-term sustainability.
Japan’s target of attracting 60 million visitors annually by 2030 underscores the urgency of these reforms. Without proper management, the strain on public transport, accommodation, and cultural landmarks could worsen. By increasing the departure tax, the government aims to generate the necessary funds to accommodate future tourism growth while maintaining a positive experience for both locals and visitors.
Kyoto Takes Further Steps to Manage Tourism
Earlier in the year, Kyoto authorities announced a substantial increase in hotel lodging taxes in response to mounting concerns over overtourism. Kyoto, renowned for its picturesque streets, historic temples, and traditional geisha culture, has seen an influx of visitors that has led to overcrowding and tensions between tourists and locals.
Under the new plan, accommodation taxes will double to ¥1,000 (~RM29.66) per person per night for hotel rooms priced between ¥20,000 (~RM593.25) and ¥50,000 (~RM1,483.12) per night. For luxury lodgings exceeding ¥100,000 (~RM2,966.23) per night, the tax will increase tenfold to ¥10,000 (~RM296.62). These changes, pending approval from the city assembly, are expected to take effect next year.
The Gion district, famous for its teahouses and geisha performances, has been particularly affected. Local residents have reported instances of tourists harassing geisha performers, blocking pathways, and even damaging traditional kimonos. In response, Kyoto has imposed restrictions on photography in certain areas, banned access to private alleys, and introduced penalties for rule violations.
Other Measures to Tackle Overtourism in Japan
Beyond tax increases, Japan has been implementing additional measures to control tourism numbers and mitigate overcrowding. Some recent initiatives include:
- Entry Restrictions at Mount Fuji: Authorities introduced an entry fee and a daily cap on the number of hikers allowed on the iconic mountain. These efforts successfully reduced summer climbers by 14%.
- Tourism Control in Ginzan Onsen: This picturesque hot spring town introduced a trial scheme restricting entry to day-trippers. Only guests staying in local hotels are permitted after 8:00 pm, while evening visitors between 5:00 pm and 8:00 pm must secure a reservation.
- Barricades at Overcrowded Viewing Spots: In a notable case, a temporary barrier was erected outside a convenience store famed for its picture-perfect view of Mount Fuji to curb large tourist crowds.
- Public Awareness Campaigns: Cities such as Osaka, Fukuoka, and Tokyo have launched initiatives to educate visitors on responsible tourism practices, including proper etiquette and respect for cultural sites.
Balancing Tourism Growth and Sustainability
Japan’s appeal as a travel destination remains strong, with its rich cultural heritage, breathtaking natural landscapes, and vibrant urban centres drawing millions of visitors each year. Additionally, the weakened yen has made travel to Japan more affordable, further boosting international arrivals.
However, balancing the economic benefits of tourism with sustainability is becoming a growing challenge. Authorities are implementing strategic policies to ensure Japan remains an attractive destination while preventing the negative effects of mass tourism.
While no official date has been announced for the increased International Tourist Tax, travellers planning a visit to Japan in the coming years should stay informed about potential changes. Adjusting travel budgets accordingly and being mindful of new regulations will help ensure a smooth and enjoyable journey while contributing to Japan’s efforts to create a more sustainable tourism environment.
If you're planning a trip to Japan, it's wise to set aside some extra funds, as travel expenses may change by the time your journey begins.
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*Sources: Visual and Reference Credits to Social Media & various cross-references for context.
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