Japan, South Korea, and Kyoto Prepare for Rising Travel Costs as Japan Triples Departure Tax for All Overseas Travelers in 2026 – What South Korean and International Travelers Need to Know Before 2026

Published on December 28, 2025

Japan is set to introduce a major change to its departure tax system, a move that will affect all overseas travelers departing the country. Starting from July 2026, the International Tourist Passenger Tax will triple from ¥1,000 (USD 7) to ¥3,000 (USD 20) per passenger. This increase, while modest for the average tourist, aims to generate up to ¥130 billion (USD 900 million) in additional revenue. The money will be allocated towards much-needed infrastructure upgrades, tourism promotion, and sustainable tourism initiatives. As Japan continues to attract millions of visitors annually, the government has made it clear that these changes are necessary to address the pressure of overtourism on major cities and to ensure a balanced and sustainable tourism model.

Why Japan is Raising the Departure Tax

Tourism in Japan has grown significantly over the past decade, and with an increasing number of visitors, the government finds itself at a crossroads between economic gains and the long-term sustainability of its tourism industry. The departure tax hike reflects a larger trend of monetizing tourism to offset the costs of infrastructure maintenance and overcrowding.

Previously, the tax was set at ¥1,000 when introduced in 2019, designed as a modest contribution by tourists to the costs they incur from using Japan’s public infrastructure and services. However, the tripling of the fee marks a shift towards a more aggressive approach to managing tourism’s economic footprint. The increased tax aims to help fund necessary infrastructure upgrades in highly visited areas and expand tourism infrastructure to maintain Japan’s appeal without sacrificing quality of life for residents.

Japan’s government is positioning this fee hike as a part of a broader fiscal strategy that taps into tourism revenues without placing additional burdens on citizens via personal or corporate taxes. The country faces an aging population and a tight budget, making tourism revenue an attractive option for economic sustainability.

Impact on Travelers and Japan’s Tourism Industry

The immediate effect of the departure tax increase on travelers will likely be a slight rise in travel costs, particularly for tourists from neighboring countries like South Korea—Japan’s largest inbound market. For frequent travelers and families, the hike might make a noticeable dent in their overall travel budget. As airlines adjust their fares to reflect the tax, passengers may see an increase in ticket prices.

Japan’s hospitality sector is also expected to experience some shifts. While discounts and promotions in certain markets have made Japanese accommodations attractive in the past, the higher tax could influence booking behavior. Price-sensitive travelers might reconsider their trips or opt for budget accommodations to offset the added costs.

Travel Tips for Visitors

If you plan on traveling to Japan post-tax hike, here are a few helpful tips to keep in mind:

1. Check Flight Pricing: Ensure to compare flight prices as airlines may adjust base fares to cover the new tax. Plan ahead to book the best fares.
2. Consider Extended Stays: For tourists planning a longer trip, the departure tax might be more justifiable given the duration of their stay. Look for longer-term promotions or extended package deals.
3. Look for Travel Deals: Many accommodation providers may still offer promotions and discounts despite the tax increase. Watch for deals tied to off-peak travel seasons.
4. Plan for Additional Fees: Stay updated on additional tourism fees, such as the Japan Electronic System for Travel Authorization (JESTA), expected around 2028, which may add further costs to your travel plans.

The Bigger Picture: How Japan’s Tax Hike Fits into Global Tourism Trends

Japan’s tax increase is part of a growing global trend where popular tourist destinations face the challenge of managing the impacts of overtourism. Countries like Venice, Barcelona, and Paris have introduced tourism levies to balance the economic benefits of tourism with the need for sustainable visitor management. Japan’s approach is not only about revenue generation but also about promoting more sustainable tourism patterns and reducing the strain on urban infrastructure.

In Kyoto, for example, the introduction of localized accommodation taxes is a similar move, reflecting the need to control tourism flows and ensure that visitors experience Japan’s cultural heritage without overwhelming its popular sites.

By creating a tourism ecosystem that benefits both residents and tourists, Japan is positioning itself as a leader in responsible tourism while ensuring that local communities and infrastructure are not left behind as the country welcomes millions of visitors each year.

Looking Ahead: The Future of Japan’s Tourism Landscape

Looking ahead, Japan’s tourism policies will continue to evolve. With its tax policies evolving, travelers to Japan should expect more pre-entry checks and possible additional costs for entry authorization. The Japan Electronic System for Travel Authorization (JESTA), expected to be implemented around 2028, will require personal information for travelers from visa-exempt countries, further raising the potential cost for international visitors.

Tourism experts caution that if taxes and additional fees increase, some budget-conscious travelers may reconsider their Japan trips or opt for alternatives. However, for those willing to invest in a premium experience, Japan’s high-end tourism offerings, such as luxury resorts and cultural experiences, remain highly attractive.

Is Japan’s Departure Tax the Beginning of a New Era in Tourism?

As the global tourism industry grows, countries like Japan must balance the economic benefits of tourism with the need to protect their infrastructure and local cultures. With a rise in taxes and fees, Japan is setting a precedent for other nations to follow. How this will shape the country’s tourism industry and whether it will become a long-term model for sustainable tourism remains to be seen.