Tokyo Plans Accommodation Tax Changes, Malaysians to Pay More on Visits

With Malaysia’s passport now ranked the 3rd strongest in the world and the ringgit gaining strength against several major currencies, many Malaysians have been taking full advantage by travelling overseas. 

One of the most popular destinations this year is Japan, and the numbers prove it… over 500,000 Malaysians have visited the country in 2024 alone.

tokyo plans accommodation tax changes, malaysians to pay more on visitsPhoto via Tourist Japan

Japan itself is enjoying a tourism boom, hitting a record-breaking 36.8 million international visitors this year. But if you’re planning your next Tokyo trip, be prepared to budget a little extra, because the city is getting ready to revise its accommodation tax.

Tokyo’s government has proposed shifting from its current small flat-rate fee to a new system that charges 3% of your room price per night. This means the tax you pay will increase along with the price of your stay, something travellers need to keep in mind, especially during peak seasons when hotel rates tend to surge.

The draft plan, revealed on 26 November, also suggests expanding the tax to include private lodgings and shared accommodation options, which are not taxed under the existing system.

Right now, the accommodation tax sits at JPY100 per night (around RM2.65) for rooms priced between JPY10,000 and JPY14,999, and JPY200 (about RM5.30) for rooms above that range. Under the new proposal, only stays costing JPY13,000 (around RM344) and above would be taxed, but instead of a small fixed fee, it would be a percentage of your room rate.

Tokyo is collecting public feedback on this proposal until 26 December 2025. If the plan is approved by Japan’s Internal Affairs and Communications Minister, the revised tax could take effect after April 2027.

Planning that Japan holiday? Best to watch how this develops, as your future stay in Tokyo might cost a little more than expected.

RELATED ARTICLES