Kyoto’s Most Luxurious Hotels Face Up To 900% Tax Increase Next Year

Japan’s ancient capital, Kyoto, is poised to take a significant step toward combating overtourism in 2026.

Japanese newspaper The Asahi Shimbun reported that hotel taxes will increase for most Kyoto stays starting March 1, 2026. According to the publication, the city’s Minister of Internal Affairs and Communications signed off on a revision to the hotel tax increase proposal on October 3. The highest increase is an eyebrow-raising 900% jump over the hotel tax currently charged.

However, the hefty increase will only be applied to Kyoto hotel room reservations that cost ¥100,000 or more per night. For those rooms — the most luxurious in Kyoto — the hotel tax will go from ¥1,000 to ¥10,000 per person, per night. If you’re curious how much the latter number is in USD, it’s around $65 at the time of this reporting.

Kyoto’s hotel tax for stays priced between ¥50,000 and ¥99,000 per night will increase from ¥1,000 to ¥4,000. Those costing between ¥20,000 and ¥49,999 per night will see their levy rise from ¥500 to ¥1,000. Meanwhile, stays of ¥6,000 to ¥19,999 per night will see their hotel tax increased from ¥200 to ¥400.

Budget travelers staying at accommodations under ¥6,000 a night (around $39) won’t face an increase in the hotel tax. For those travelers, Kyoto’s hotel tax will remain ¥200. The hotel tax charges will be applied per person, per night, for the luxe stays.

What Else Is There To Know About Overtourism In Kyoto And The Increased Hotel Tax?

Taxes on Kyoto’s hotel rooms were first established in 2018. The city is known for being rich in history, tradition, spiritual sites, and things to do. Over 1.4 million people live in Kyoto, making it one of Japan’s 10 most populous cities. However, overtourism has taken a toll on local transportation and attractions. Back in March, city officials reportedly said of the hotel tax increase proposal, “Tourists also must bear the cost of countermeasures against overtourism.”

Based on estimates, Kyoto’s hotel tax revenue is expected to double in revenue from ¥5.91 billion this fiscal year to a whopping ¥12.6 billion the next. Officials supporting the measure reportedly plan to put the extra money toward bettering the city’s infrastructure and reducing its congestion.

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