Planning a trip to Barcelona or Kyoto? Here's what you need to know about the "tourist tax bomb" hitting travelers' wallets.
Barcelona, Spain's premier tourist destination, is introducing Europe's highest tourist tax to curb visitor numbers and address its housing crisis.
The Catalonia regional parliament on Tuesday approved legislation doubling taxes on vacation rental guests from an average of 6.25 euros ($6.80) to a maximum of 12.5 euros ($13.60) per night, according to Britain's The Independent.
Hotel guests will face the higher rates starting April. Depending on hotel classification, nightly taxes will increase from the current 5-7.5 euros ($5.40-$8.15) to 10-15 euros ($10.90-$16.30).
For two guests staying two nights at a four-star hotel, local authorities can charge up to 11.4 euros ($12.40) per person per night, resulting in additional costs of 45.6 euros ($49.60). Five-star hotel guests will pay up to 15 euros ($16.30) per night. Nearly half of Barcelona's hotels are four-star properties, suggesting significant impact on visitors.
The tax hike responds to housing shortages and deteriorating living conditions caused by surging tourist arrivals. Foreign visitors to Catalonia reached a record 20.1 million last year, according to Spain's National Statistics Institute. The legislation mandates that one-quarter of collected taxes fund housing solutions amid worsening "overtourism" problems straining residential areas and urban infrastructure.
Tourist reactions are mixed. Italian nurse Irene Berazzo, 33, said: "Tourists are already spending enough through shopping and visiting attractions," criticizing the additional charges as unfair. However, local resident Ivan Liu, 21, who faces housing difficulties, called the tax increase a reasonable approach despite not being a fundamental solution.
The hotel industry fears declining visitor numbers. Barcelona currently attracts approximately 15.8 million tourists annually. Manel Casals, secretary-general of the Barcelona Hotel Association, said his proposal for gradual increases was rejected. "This could end up killing the goose that lays the golden eggs," he warned.
Meanwhile, Korean tourists visiting Spain are also increasing. Approximately 431,872 Koreans traveled to Spain last year, up 10% from the previous year and recovering to 68% of the 580,775 recorded in 2019 before COVID-19, according to the Spain Tourism Board. Average daily spending per person rose 17.6% to 480 euros ($522) from 408 euros ($444) the previous year.