Planning a trip to Barcelona or Kyoto? Here's what you need to know about the "tourist tax bomb" hitting travelers' wallets.
Office worker A, 32, was recently shocked while planning a trip to Japan. Despite scoring a cheap flight on a low-cost carrier, admission fees and accommodation taxes at desired destinations had risen noticeably from before.
"I was happy that airfare had dropped, but when I added up the taxes and fees I'd have to pay locally, my total budget actually increased," A said.
A phenomenon called "taxflation" is emerging globally as countries respond to overtourism with surging tourism-related taxes and fees. While basic costs like airfare and accommodation decrease, charges imposed on tourists for reasons such as environmental preservation are rising, pushing up actual travel expenses.
Japan Introduces Two-Tier Pricing: "1,000 Yen for Residents, 2,500 Yen for Foreigners"
Japan leads this trend. According to the Japan National Tourism Organization, foreign visitors reached 42.7 million last year, surpassing 40 million for the first time and enjoying record prosperity. Tourism spending also hit an all-time high of approximately 9.5 trillion yen (about 88.7 trillion won).
As tourist numbers surge, Japanese local governments are accelerating the adoption of two-tier pricing systems for tourism management.
Himeji City in Hyogo Prefecture began applying differentiated admission fees for UNESCO World Heritage site Himeji Castle on May 1, based on residency and nationality. Himeji residents aged 18 and over pay the unchanged 1,000 yen (about 9,300 won), while non-residents, including foreigners, must pay 2,500 yen (about 23,000 won)—2.5 times the previous price. Those under 18 enter free regardless of residency status.
Kyoto, also struggling with tourist influx, is pursuing a plan to differentiate city bus fares between residents and tourists. The current fare is 230 yen (about 2,100 won), but proposals would lower resident fares to 200 yen while raising non-resident fares to 350-400 yen.
Kyoto explained this as a measure to ease traffic congestion caused by increased tourism. The city is reportedly the first Japanese municipality to pursue fare differentiation between tourists and residents.
Accommodation tax hikes continue as well. Kyoto charges guests at high-end hotels costing 100,000 yen or more per night up to 10,000 yen in accommodation tax—the highest among Japanese municipalities. The national government is also considering raising the international tourist passenger tax (departure tax) from the current 1,000 yen to up to 3,000 yen.
However, concerns are emerging that two-tier pricing could be perceived as discrimination against foreigners. Some point to rapidly rising costs for tourists as a potential drawback.
Spain and Italy Expand Tourist Taxes, Raising European Travel Costs
Europe faces a similar situation. The European Union plans to charge citizens of visa-free countries, including South Korea, a 20-euro (about 30,000 won) entry fee under the European Travel Information and Authorization System (ETIAS) starting in the second half of this year.
Spain, popular among Korean travelers, is also pursuing tourist tax increases. According to the Spanish Tourism Board, approximately 431,872 Koreans visited Spain last year, up 10% from the previous year. Average daily spending per person was 480 euros (about 800,000 won), a 17.6% increase from 408 euros the year before.
Barcelona will double its tourist tax starting next month. The Catalan parliament approved legislation raising taxes on vacation rental guests from an average of 6.25 euros (about 10,000 won) per night to up to 12.5 euros (about 21,000 won). Guests at luxury hotels may pay nearly 20,000 won in additional taxes per night.
Additionally, Venice has charged day-trippers a 5-euro (about 8,500 won) entrance fee this year, continuing from last year. Greece's Santorini has imposed a 20-euro (about 34,000 won) per-person tourist tax during peak season since July last year.
Policy Shift: "Tourists Should Share Infrastructure Costs"
Behind the rise in tourism-related taxes and fees is a fundamental policy shift. While attracting tourists was once the top priority, tourism is now increasingly viewed as a "public resource requiring management."
Analysis also suggests that countries with steady tourism demand face relatively less burden from tax increases. In countries like Japan, where visitor growth continues, tax hikes are unlikely to significantly dampen tourism demand.
