Politics & Government

Govt Set to Raise International Tourist Tax; Aims to Use Increased Revenue to Alleviate Overtourism

Yomiuri Shimbun file photo/span>
Tourists take pictures of the snow-capped Mt.Fuji in Fujiyoshida, Shizuoka Prefecture, in December 2024.

The Yomiuri Shimbun

14:42 JST, February 27, 2025

The government and ruling parties are considering raising the International Tourist Tax, which is currently ¥1,000 per person and levied on people leaving Japan as a “departure tax.” The government intends to expand the purposes for which the tax revenue is used, such as measures against overtourism, which has become a problem in many areas due to the rapid increase of foreign visitors.

Members of a subcommittee of the ruling Liberal Democratic Party have begun gathering opinions on how much the tax should be increased and how it should be used. With other countries imposing higher departure taxes, such as about ¥3,750 in Egypt and about ¥7,000 in Australia, there have been proposals to raise the tax in Japan to ¥3,000 and to ¥5,000. Currently, the use of the tax revenue is limited to measures for the promotion of international tourism, such as inviting foreign visitors and resort development.

As a measure against overtourism, the members expect that the tax revenue will also be used to expand transportation facilities and improve airports. They intend to reflect their ideas in the outline of the tax system reform after discussions at the ruling parties’ tax commission.

The tax, introduced in January 2019, is added to ticket fees for airplanes and cruise ships departing from Japan. It is applied not only to foreign visitors but also to Japanese departing the country. In fiscal 2023, the tax revenue tripled from the previous year to ¥39.9 billion and is expected to rise to ¥49 billion in fiscal 2025.

According to the Japan Tourism Agency, the number of foreign visitors to Japan in 2024 was 36.87 million, while the number of Japanese leaving the country was 13.01 million. The number of foreign visitors to Japan is expected to continue to increase. The government is aiming for 60 million visitors in 2030.

However, some airports and tourist spots have not been able to keep up with such increases in visitor numbers, and if there are further increases, there is a risk that overtourism may become more serious. The government intends to increase financial resources by raising the International Tourist Tax and using them to improve the environment to achieve its goal.