Canadians visiting popular city in Japan will soon pay more for hotels

Canadians planning to hit the big three cities for their Japan trip this year will need to budget more for a stay in Kyoto.

The popular tourist destination is implementing Japan's highest-ever accommodation tax next month.

Kyoto first implemented the tax in October 2018 to help improve the city's infrastructure, but on Oct. 3, officials approved the steep hike that will take effect on March 1, 2026.

The new rate will reach up to ¥10,000 (C$87.82) a night per person, depending on the cost of your accommodation, according to a news release from the Kyoto City Tourism Association.

Known for its Shinto shrines, gardens, and geisha culture, Kyoto has long been a popular destination for tourists. However, in recent years, the ancient city has been struggling with the impact of overtourism.

The per-person tax hike isn't too bad if you're staying in budget accommodations, but it goes up significantly for higher-end stays. Here's the breakdown based on hotel rates:

Source: Kyoto City Tourism Association

The increase is expected to generate an estimated ¥12.6 billion (approximately C$115.4 million) in the next fiscal year.

A fact sheet shared by the tourism board says funds from the tax hike will be used to preserve cultural heritage, address issues caused by overtourism (like traffic and littering), improve safety and convenience, and revitalize local areas.

This includes providing more information services in various languages, implementing etiquette campaigns, and introducing a new bus route from Kyoto Station to the popular Higashiyama District.

"Tourists also must bear the cost of countermeasures against overtourism," stated city officials when the tax was approved in October.

It's not the first time that Kyoto officials have taken action to control the effects of tourism in the city.

Last April, tourists were banned from entering private alleys in Gion, Kyoto's famous geisha district, after reports of visitors harassing geishas for photos. Elsewhere in Japan, local officials in the town of Fujikawaguchiko blocked a popular view of Mount Fuji as tourists crowded sidewalks and disrupted traffic to capture an iconic shot of a Lawson convenience store with the mountain in the background.

Japan remains a popular destination for Canadian tourists. According to the Japan National Tourism Office of Toronto (JNTO), a record 580,000 Canadians visited Japan in 2024, representing a 36 per cent increase from the previous year.

Popular destinations in Greece and Mexico have also begun charging tourists fees to mitigate the impact of tourism.