Kyoto Doubles Tourist Tax Target Amid Overtourism Push

Accommodation Tax Sees Tenfold Increase

Kyoto City projects its accommodation tax revenue will exceed JPY 13.2 billion this fiscal year, more than doubling previous figures. This substantial increase follows a revision approved in March, which raised the maximum nightly levy tenfold to JPY 10,000. This top rate applies to stays costing JPY 100,000 or more per person per night.

While the minimum charge remains JPY 200 per person per night, new intermediate rates of JPY 400, JPY 1,000, and JPY 4,000 have been introduced, scaled according to accommodation costs. Kyoto City officials state this move is one of the city's most ambitious efforts to ensure tourism directly contributes to the costs associated with its global popularity.

Funding for Infrastructure and Overtourism Management

The primary objective behind the increased tax is to address overtourism and alleviate the strain millions of visitors place on Kyoto's residents and public infrastructure. Kyoto City officials argue that visitors should share the financial burden of maintaining essential services.

Six months following the tax revision, details are emerging regarding the allocation of this additional revenue.

Funds are earmarked for a range of initiatives, including measures to reduce litter, improve public transportation, undertake subway renovations, enhance accessibility, and support programmes designed to attract school excursions, aiming for a more sustainable visitor economy.

Targeted Initiatives for Cleanliness and Transit

Among the specific projects funded by the new tax revenue is a systematic approach to managing litter around major tourist attractions, such as Fushimi Inari Taisha. Kyoto City is funding continuous surveys of garbage and deploying workers, in collaboration with a local senior employment centre, to collect litter approximately 200 days a year.

This project not only keeps streets clean but also documents waste types and locations to inform future counter-measures. Separately, to tackle overcrowding on public buses, Kyoto City plans to introduce front-door boarding with advance fare payment, and centre-door exiting, from fiscal 2028. This aims to improve passenger flow and shorten stop times.

Real-time Information for Visitor Dispersion

Beyond direct infrastructure improvements, Kyoto City is also utilising tax revenue to help tourists avoid crowded areas. Real-time congestion information is now available via an online map covering major sightseeing locations, fed by cameras installed at 30 points across the city, including Kiyomizu-zaka.

This free service allows visitors to check current crowding levels before deciding on their destination, thereby promoting a more even distribution of foot traffic.

This proactive approach aims to enhance the visitor experience while mitigating the impact of high tourist volumes on specific sites and local daily life, a model other Asian destinations grappling with similar challenges may observe.